Weekly Regional HOG PRICE Report

Things to Consider….

Lean hog futures have performed relatively well over the course of the last month as forward contracts reached their highest values since the start of June 2024.  December 2024, April 2025 and June 2025 hit 4-month highs after the market recorded a bottom around July 15^th.  The last 10 weeks have offered optimism for hedgers looking for an opportunity to reduce exposure risk for the 4^th quarter of 2024 and first of 2025.

December lean hog futures reached a 4-month high of $75.80 US per cwt on Sep 24^th bringing the weekly average to within the top value of the past 5 years for this week.  Only in 2021 were December hogs higher during this week of trade.  Seasonally as shown in the 5-year Daily graph for December hogs, all 5 years Dec hogs fell in value from early October to expiry of the Dec contract.  

  September 24, 2024

 December Lean Hogs 2024

April Lean Hogs 2025

June Lean Hogs 2025

Weekly Hog Price Recap

Cash hogs were mostly lower to start the week with select markets picking up strength Thursday limiting losses.      CME cash was narrowly higher ending the week within 50 cents of the prior Friday's close. Wholesale pork primals were also extremely steady on the week with US pork cutout down only $0.08/cwt over the previous 5 days.

Canadian hog markets were mostly lower week over week with most regions recording losses between $2.00-$3.00 per hog with the exception of BP/TC which only edged lower due to the week lag in pricing.     ML Sig 4 dropped nearly $4.50/hog, Hylife recorded a decline of $1.47 and Olymel prices were both lower by $3.00 (OlyW21)and $1.89 (OlyW20). In the US, Tyson hogs gained $1.51/hog while JM hogs edged lower by $0.50/hog adding to recent weakness in the Midwest market.
 

Weekly Hog Margins

Monitored Canadian hog margins were lower by the end of the week with most Western regions recording seasonal declines of $2-$4 per hog while Eastern marekts were lower from $1.30 to $3.10 per hog. Canadian farrow-to-finish feed costs inceased fractionally by only $0.34/hog as losses in the grain sector were offset by slight gains in the protein markets which was the opposite from the week prior.  Hog margins seasonally tend to decline thru the 3rd and fourth quarter impacted more by lower hog prices versus changing feed values.

Ontario hog margins were lower down $3.10 to $33.42/hog, ML Sig 4 margins were down $3.83 to $33.46/hog profits. Hylife margins slipped $2.08 to $28.56.64/hog profits and OlyW 20 hog margins weakened $2.23 to $33.59/hog profits, while Quebec hog margins were the least impacted this week down $1.38 to $26.30 per hog.  OlyW 21 weakened $3.34 to $23.64/hog profits. In the US, Tyson hog margins gained $1.32 to $32.96/hog profits while JM margins were slightly lower by $0.70 at $24.48/hog profits.
 

 US Regional Margins

• Tyson: $ 32.81 USD X 1.3581 = $ 44.56 in Canadian Dollars
• Morrell: $ 24.33 USD X 1.3581 = $ 33.04 in Canadian Dollars 

Disclaimer: Commodity Professionals Inc. presents this report as a snapshot of the market using current information available at the time of the report. These findings are for informational purposes only and should not be reproduced or transmitted by any means without permission.  Commodity Professionals Inc. does not guarantee and accepts no legal liability arising from or connected to, the accuracy, reliability, or completeness of any material contained in the publication.