Lean hogs hit a record high in Wednesday trade and are up 6% over the past month, with traders keeping a close eye on slaughter rates and the size of the herd.
Concerns are mounting that the USDA's hogs and pigs report will show an unseasonal drop in slaughter rate, thought to be down to the PEDv diahorrea virus.
The opinion of analysts on whether the
herd has grown or shrunk is mixed with the range of estimates ranging from a
contraction of 3.6% to expansion of 0.3%.
I'm still in my bear spread but have a tight stop and will keeping a very close eye on the action over the next couple of days.
The USDA's quarterly hogs and pigs report is due out at 2 p.m. CDT.