Pork Futures: Hogs Settle Mixed
CHICAGO - Lean hogs ended mixed. Direct hog market weakness pressured spot-June, and that was also swayed by speculation about where it will settle when the contract expires on June 14.
12 June 2007
2 minute read
Meanwhile, July and August was the domain for July/August bull-spreaders and July longs that periodically migrated into August on the third day of the Goldman Roll. The "roll" will conclude on Wednesday and is tied to the GoldmanSachs Commodity Index.
June lean hogs actually rose slightly after the opening bell on the heels of last week's daily hog slaughter reductions, June's oversold chart indicator andas much as $2 per hundredweight higher Missouri direct hog bids.
However, subsequent cash trading at major direction hog markets undercut Juneand reflected packer desires to keep a lid on cash prices while conservingoperating margins.
Spot-June's movement again on Tuesday will be guided by pre-expirationspeculation. July longs will roll into August in earnest on the eve of theofficial end of the Goldman Roll. And, market bulls and bears alike will monitor pork cut outs given recent diminished hog kills.
The July contract ended above 74.28-cent 20-day moving average support andunder 74.52-cent 10-day moving average resistance levels.
Source: FXSTREET.com
