Hog futures were under pressure from the morning open on Monday but managed to close higher. April hogs briefly fell under $58 and then rallied more than $1 in the last half of the day, mark modest gains. Summer futures marked the best gains for the day with June up to $1.275, and July rose $1.45. The lean hog index started the week down $.36 at $56.53 and the weekend slaughter data indicates another $.39 lower for Tuesday.
Scheduled loads for the week were 4% lighter than last week, and we estimate that this week’s kill could reach 2.4 Mil head if the weather does not again restrict
After falling sharply since the start of the year, hog futures are back at value. April closed Monday at less than $3 over the lean hog index, and June was near $20. Initial technical targets for June are just above $78 where an open chart gap and the 200-day moving come together.