Tough Week for Lean Hogs – Futures

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Lean hog futures plummeted last week as traders kicked the crap out of summer futures in the $20 per head range. Interesting that cash hogs lost ground but not nearly at the rate of lean hog futures. Iowa-Minnesota Friday was 1.0672 a lb. This is the opinion expressed by Jim Long in his regular report.

«Time will tell, but we expect summer future lean hogs will recover back over $1.20 in the not-too-distant future as the reality of less hogs available for marketing pushes up pork cut-outs and hog prices. We could be suggesting wrong, but a lot of lean hog future trading is done by sharpies running computer programs that work on incremental margins; in some ways, they don’t care if hogs are up or down. It’s just about making money on trades» — comments Jim Long, CEO Genesus Inc.

More details in report: e1.envoke.com