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Hogs Are Getting Heavier


Hogs are getting heavier and hog slaughter is increasing at a time when pork is going down faster than the price of hogs. These factors are going to keep packers from paying higher for hogs. Top it off with pork exports down for the year and with the strong U.S. dollar unlikely to increase, it will be difficult to retain current lean hog future prices.

hogs in muddy field

The cattle market is having its own problems. As beef prices drop, the industry has to deal with the amount of lower grading cattle,  Select and low grading beef selling in larger amounts and cheaper.  Consumers are price shopping, buying protein to fit their food budget.

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Futures and options trading involve significant risk of loss and may not be suitable for everyone.  Therefore, carefully consider whether such trading is suitable for you in light of your financial condition.  The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM.  The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared.  The information provided is designed to assist in your analysis and evaluation of the futures and options markets.  However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.

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