Pork Futures: Hogs Gain
CHICAGO - Except for June lean hogs that settled weak after the contract expired at 1p.m. EDT (1700 GMT), remaining trading months finished higher on shortcovering, Wednesday's pork cutout jump and steady-to-better cash hog quotes.
15 June 2007
2 minute read
Hog market bulls were also inspired by recent hog slaughter reductions andmuch-improved estimated packer profit margins. July/August bull spreadersstepped up their activity following the completion of the bulk of the GoldmanRoll on Wednesday.
The "roll" consisted of funds that shifted some of their July positions intoAugust that was done in conjunction with the Goldman Sachs Commodity Index.
What's more, fund buying surfaced after July moved beyond 100-day movingaverage resistance on its way to a six-week high. Speculative bargain huntersintensified their interest in distant hog contracts as CBOT corn gained groundminutes before livestock markets closed.
Country hog buyers anticipated steady-to-firm cash prices on Friday. And,pork cutouts might receive added lift from lighter hog slaughters that continueto slow product flow into retail outlets.
Source: FXSTREET.com
