The futures have taken a beating recently, and therefore I do not see any good pricing opportunities at this point. If prices do rally back towards their highs, then I would consider forward pricing some of my anticipated production. If lean hog futures are still trading near their high, I would consider looking into trying to forward contract some of your expected production through the remainder of the year. While there are reasons why the market has rallied, the prices being offered should more than cover costs. And some of the decrease in slaughter may be due to the day of the week holidays fell.
Prices are near expectations.
Sow slaughter was down in 2000, and that fits with the increase in farrowings. But that may be turning around. Sow slaughter has been up the past three weeks and Glenn Grimes, University of Missouri, said gilt slaughter numbers have been up. While it is to early too say there has been a cut back in the breeding herd, something is going on. Last year's increase in the breeding herd could have come from filling buildings.