Lean hog futures finished Friday’s session 22 cents to $1.50 higher across the board, though August hogs still ended the week down $4 overall.
The USDA’s national base hog price was reported at $100.41 on Friday afternoon, a decline of 64 cents from the previous day’s figure.
The CME Lean Hog Index slipped a penny on July 29, settling at $98.44, reflecting continued softness in the underlying cash market heading into the weekend.
The weekly CFTC Commitment of Traders report revealed that managed money slashed 7,273 contracts from their previously near-record net short position during the week of July 28.
That reduction brought the net short position down to 10,884 contracts, signaling a meaningful shift in sentiment among large speculative traders.
USDA’s pork carcass cutout value edged down 18 cents in the Friday morning report, coming in at $101.46 as several key primals weighed on the overall figure.
The picnic, ham, and belly primals were the only cuts reported lower, limiting the broader damage to the cutout value heading into the weekend session.
USDA estimated federally inspected hog slaughter for the week-to-date at 2.284 million head through Saturday, running 21,000 head above the prior week’s comparable figure.
That weekly slaughter pace, however, remained 55,494 head below the same week in the prior year, pointing to tighter year-over-year supply conditions in the market.
August 2026 hogs closed at $98.850, up $0.425, while October 2026 hogs posted the session’s strongest gain, closing at $84.850, up $1.500.
December 2026 hogs also finished higher, closing at $75.675, up $1.150, rounding out a broadly positive end to the week for the complex.
The combination of short-covering by managed money and firm futures closes suggests the lean hog market retains underlying support despite near-term cash price pressure.
