Wholesale pork is now at its highest level since Feb. 22. Cash hogs are at their highest level since Jan. 29. It is great to see this market is reacting to lower supplies that are now being offered. Our only real criticism of this rally is that it is coming very slowly.
Monday's lean hog 418,000 head kill was a little under our initial 428,000 head estimate. In live cattle, with larger showlists starting out the week, due to the lower volume of sales on Friday, the trade should take a negative view on cash cattle pricing.
Cash hogs posted gains today of $0.50 to $1.00. USDA’s limited gathering of cash hog trading noted gains of $3 today. As with the cattle we would expect some type of revision to USDA’s slaughter estimate for hogs from today’s initial 430,000 finding.