Lean hog futures closed the Tuesday session with triple digit losses. October was down 32 cents, and June ’21 was down 95 cents. The other front months fell back $1.07 to $2.05 on the day. The CME Lean Hog Index was up 89 cents on 9/25 to $75.42. USDA’s National Average Base Hog price was 2 cents lower in the afternoon, at $64.08. CME announced a pork cutout futures contract. Launching on November 9, the cutout contract will include options, trade the same contract months as lean hog futures, and be cash settled against the pork carcass cutout index on the 10th business day of the expiry month. The CME Pork Cutout index price was up 60 cents to $90.73 for the 5 days ending 9/28. USDA’s National Pork Carcass Cutout value was $1.64 lower to $91.75. Chinese officials noted intentions to produce 95% of consumed pork domestically, leaving 5% for imports. The press release did not specify a target date for the initiative. Federally inspected hog slaughter for Tuesday was estimated at 485,000 head. The week’s slaughter is at 974k head which matches last year’s pace.

--- provided by Brugler Marketing & Management