Tue 07 May 2013 14:18:13 CT
June hogs closed 1 tick lower on the session with a fairly tight range around yesterday's close as futures seem to have consolidating yesterday's steep losses. Packer margins are gone and traders believe that it will be difficult for packers to slow the slaughter pace at this time as weights are already at a record high. Cash markets traded steady to $1.00 higher this morning but the weakness in pork values late yesterday and talk that packers may be cutting back on kills were seen as an offset. Pork cutout values, released after the close yesterday, came in at $86.72, down 7 cents from Friday and down from $87.33 the previous week. The CME Lean Hog Index as of May 3rd was 87.83, up from 86.79 the previous session. Slaughter came in right on trade expectations after coming in well below expectations for the previous two sessions. Today's slaughter is estimated at 415,000 head.
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