Market News & Headlines >> U.S. Hog Herd Smaller Than Expected
Friday’s USDA quarterly Hogs and Pigs report contained very bullish news for hog prices, pegging the Sept. 1 U.S. hog herd below all trade expectations and nearly 4% below a year earlier while indicating liquidation of the breeding herd continued this summer despite profitable conditions for many producers.
USDA pegged the Sept. 1 all hogs and pigs total at 75.352 million head, or 96.1% of the year-earlier herd of 78.434 million head compared with trade estimates that averaged 98.3% in a range from 97.3-99.8%, according to Bloomberg News survey of five analysts. The Sept. 1 market hog inventory came in at 69.162 million head or 95.9% of the year earlier total of 72.101 million head compared with trade estimates that averaged 98.2% in a range from 97.2-99.9%.
USDA put the supply of hogs kept for breeding at 6.190 million head or 97.7% of the year-earlier level of 6.333 million head compared with trade estimates that averaged 98.9% in a range from 98.3-99.7%.
The June-August pig crop came in at 33.900 million head or only 94.4% of the year-earlier total of 23.144 million head compared with trade estimates that averaged 96.6% in a range from 96.1-97.6%. June-August farrowings totaled only 93.4% of a year earlier versus trade estimates that averaged 96.3% in range from 95.6-97.4%. USDA pegged the number of pigs per litter at 100.6% of a year earlier, vs. trade estimates that averaged 100.4%.
Farrowing intentions data was mixed. September-November farrowing intentions came in at 95.8% of a year earlier, below trade estimates that averaged 98.6%, but December-February farrowing intentions came in at 101.4% of the 2021 level compared with trade estimates that averaged 99.9%.