Hogs Carry Triple Digit Losses into Weekend

Lean hogs futures erased the Wednesday-Thursday gain, with Friday closes $1.27 to $1.90 lower. Feb futures were 45 cents lower on the week. The CME Lean Hog Index was 27 cents higher on 01/22, at $61.27. In the latest CoT report with positions data from Tuesday, managed money hog traders were net long by 11,566 contracts. Over 3 weeks spec trader OI is up 10,464 contracts. …. Pork export sales from the week ending 01/16 were 30,334 MT, which was a 21.6% drop vs. last week, but 48.5% higher yr/yr. There are 490,309 MTs of unshipped pork on the books, which was lower wk/wk due to weekly shipments being a 10-week high for pork. Exports were listed at 44,417 MT, and of the week’s shipments 38.21% were headed to the PRC. China booked only 2,996 MT (9.88% of total) of new pork business for the week ending 01/16. USDA’s Afternoon Carcass Cutout was $1.46 lower. USDA’s National Average Base Hog price was up another 59 cents to $52.73. USDA projected the weekly FI hog slaughter at 2.720 million head through Saturday. That was 120,000 head more than last week, and puts ytd slaughter at 9.313 million head.

Feb 20 Hogs closed at $67.225, down $1.275,

Apr 20 Hogs closed at $73.450, down $1.900

May 20 Hogs closed at $79.975, down $1.800

---provided by Brugler Marketing & Management

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