Market reactions to hog reduction meeting

In the markets, live hog futures for November delivery fell 1.23% and had their lowest close of the contract. Volumes also spiked higher, up 60% compared to yesterday.

However, further out the curve, there wasn’t much movement. It’s unclear how the specific 2026 reduction in sales will be calculated, but depending on how the rules work, firms may have an incentive to bring forward some sales in order to boost their 2025 sales to achieve a higher baseline before they have to make the reductions....

 

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