Wednesday was an inside day of trading for October hogs that left the market moderately higher at the close. The market had a higher open and good support in early trade, though a midday push back above the 50 day moving average again had found resistance. The hog index was down $.34 at $85.76, and projected $.14 lower for Thursday.
The latest estimates for hog producer returns, as calculated by IA State University showed wean to finish operations outperforming farrow to wean farms in the month of July. Wean to finish farms are estimated to have made nearly $25/head during the month, versus a $4.48/head loss last year. Compared to a year ago, feed costs were $5.46/head lower, while the average sales price was $12/cwt ($25/head) higher. Farrow to wean returns were estimated just above break even, but $1.84/head over a year ago. Both farrowing and finishing businesses have been profitable through 2017, and September inventory report should again show modest herd expansion.