Pork net sales came back down to earth in the USDA’s latest “U.S. Export Sales” report.
The report showed pork net sales of 12,700 metric tons (MT) for 2013, putting it 46 percent lower than last week’s report of 23,500 MT. Last week’s report played catch-up for the weeks of delayed reports during the government shutdown, skewing the data.
This week’s pork net sales were primarily for Mexico (5,100 MT), Honduras (1,900 MT), Japan (1,400 MT), South Korea (1,200 MT), and China (500 MT).
Exports of 12,300 MT were reported to Mexico (3,300 MT), Honduras (2,000 MT), Hong Kong (1,400 MT), Japan (1,300 MT), and Canada (1,000 MT).
Cash strength limited losses in hog futures after across-the-board Tuesday losses in the cash and wholesale markets depressed CME prices on Wednesday. Nearby hog futures firmed overnight as surging hog weights, possibly presaging increased hog supplies, and wholesale weakness weighed on the hog and pork complex at this juncture.
However, cash prices rose in the western Corn Belt Wednesday, thereby supporting the nearby December future. December hog futures advanced 0.20 cents at 87.55 cents/pound early Thursday morning, while April slipped 0.20 to 92.65.