The commodities market is a close-knit one, with the price hike in one commodity often affecting another. Such correlation is evident in agricultural products such as soybean meals, corn, and lean hogs.
Lean hog prices are highly correlated with Soybean Meal and Corn as young feeder pigs are fed a diet of roughly 70% corn and 30% soybean meal. As such when corn...
Hogs
Daily Direct Hogs Plant Delivered (as of 1:30 PM CT)
Carcass Base Price
Range: 115.00-138.00
Weighted Average: 132.48
Change from Prior Day: 1.35
Head Count: 25,266
Daily Hog Slaughter
474,000. 5,000 more than last week and unchanged from last year.
Weekly Export Sales
Pork: Net sales of 21,500 MT for 2022 were down 31 percent from the previous week and 6...
CME:HE1! CBOT:ZC1! CBOT:ZM1!
On August 1st, USDA Daily Hog and Pork Report shows that benchmark Iowa Carcass Base Price averages $128/cwt. This is a 15% increase year-over-year, and a whopping 70% higher than the five-year average of $75. Is pork still affordable?
Meanwhile in the futures market, while August Lean Hog contract (HEQ2) is quoted at...
Lean Hogs
Commitments of Traders Update: Friday’s CoT report showed Managed Money were net buyers of 5,411 futures/options through July 19th. This expands their net long position to 45,435 contracts.
Technicals (October): October lean hogs were able to breakout above the top end of the range from May and June, this could propel prices back to the march...
*Cold storage report will be out tomorrow afternoon
Lean Hogs
Technicals (August): Lean hog futures finally showed some more conviction in their recent breakout move above significant resistance from 111-112ish. This opens the door to a potential test of first resistance, 116.325. The more significant resistance comes in closer to 120. The RSI (at the bottom of...
Lean Hogs
Technicals (August): Lean hog futures “broke out” above the upper end of their range, trading to their highest price since April 29th. The higher trade lacked conviction and follow through, which is keeping our excitement mute. There’s now a gap below the market that we will need to keep an eye on. Previous resistance will now act as our pivot pocket,...
Lean Hogs
Commitment of Traders Update: Friday’s Updated CoT report showed Managed Money were net buyers of 11,450 futures/options contracts through July 12th This expands their net long position to 39,934 contracts.
Technicals (August): August lean hog futures traded at the upper end of the two-month range last week. Resistance remains intact from 111.30-112.00....
Lean Hogs
Technicals (August): It was a risk-off day in nearly every commodity yesterday, with the exception of lean hogs. Lean hog futures were able to rally up near the 50-day moving average which we’ve listed as first resistance. That finished yesterday’s session at 106.90. Just above that is trendline resistance from the March 31st high, that comes in near...
Lean Hogs
Technicals (August): It was the last trading day of the month and quarter, which may have been the main catalyst for breaking lean hogs below what we have labeled a “MUST HOLD” support level, defined by the 200-day moving average and trendline support. This will now act as our pivot pocket, 103.00-103.95.
Resistance: 108.125**, 109.45***,...
Lean Hogs
The quarterly Hogs and Pigs report will be out after the close. Estimates are:
All hogs and pigs - 99.0%
Breeding herd - 98.9%
Market hogs - 99.0%
Technicals (August): Lean hog futures broke lower yesterday, trading into 4-star support from 103.00-103.95. This pocket represents trendline support and the 200day moving average. A failure here could take...
Lean Hogs
Technicals (August): August lean hogs have been trapped between the 200-day moving average and 50 day moving average for a while now, but as those converge it could setup for a bigger directional move (instead of the choppy sideways trade that we’ve been stuck in for a month). First resistance comes in from 108.65-109.45. This pocket represents trendline...
Lean Hogs
Technicals (July): July lean hogs were able to breakout above trendline resistance and the 50-day moving average which led way to an extension to our next resistance level mentioned in yesterday’s report, we’ve defined that wide ranging pocket as 112.825-114.00. Previous resistance will now act as support, that comes in near 110.50-111.475.
Resistance:...
Lean Hogs
Technicals (July): July lean hogs were able to breakout above trendline resistance and the 50-day moving average which led way to an extension to our next resistance level mentioned in yesterday’s report, we’ve defined that wide ranging pocket as 112.825-114.00. Previous resistance will now act as support, that comes in near 110.50-111.475.
Resistance:...
Commitments of Traders Update: Friday’s CoT report showed Managed Money were net sellers of 3,641 futures/options contracts through June 14th. This shrinks their net long position to 18,832 futures/options. Broken down that is 44,483 longs VS 25,651 shorts.
Technicals (July): July lean hogs gaped higher on Friday but couldn’t get much else going after fizzling...
Lean Hogs
Technicals (July): July lean hogs were able to find follow-through momentum yesterday, inching closer to the pile of technical resistance. Trendline resistance from the March 31st highs and the 50-day moving average come in at 110.675, which comes right in line with the June 8th high. This will be a big hurdle for the Bulls to overcome. If they can,...
Lean Hogs
Technicals (July): July lean hogs were all over the place today as the market attempts to find its footing. The close out above resistance from 106.75-107.75 is encouraging and could encourage additional buying to 110.775-11.625. This pocket represents the 50 day moving average and trendline resistance from March 31st high. The Bulls have their work...
Lean Hogs
Technicals (July): July lean hogs attempted to get out above technical resistance from 106.75-107.75 but failed to sustain the early momentum into the afternoon session. If the Bulls can chew through and close above this pocket, we would look for an extension towards the mountain of resistance from about 111.00-112.70. This pocket includes trendline...
