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.
Cattle futures stepped back today as the trade’s high hopes for Friday’s cash cattle trading failed to materialize. In hogs, Tuesday was the first full trading day with April as the true front month contract.
Pressure on cash hogs was seen on Monday. This fits into our short term concern about more than adequate supplies of market ready hogs along with a report out today which should show a pretty heavy pace of expansion in the industry.