USDA export-import reports appeared on October 12:
Export during the period of January-August 2012 has amounted to 3536.009 mln. pounds, which is 9.04% more than during the equal period in 2011.
Import during the period of January-August 2012 has amounted to 536.604 mln. pounds, which is 1.84% more than during the equal period in 2011.
Situation with fodder: USDA report dated October 15, 2012 has proved to be non-favourable.
Seasonal trends: historical charts show growth during the period of October-November.
Last week results:
Production has amounted to 484.5 mln. pounds, which is 1.64% more than last week and 1.91% more than during the equal period last year.
Slaughter has amounted to 2.396 mln. heads, which is 1.74% higher than last week and 3.36% more than during the equal period last year.
Live weight has amounted to 271 pounds – the same result as last week.
Therefore, according to the Analytics Team of Commodity Trading Department, the market is characterized by mixed factors: total number of heads is riding, stocks are rising, production and slaughter are rising, and so does the export; however, on the other hand, such seasonal trends as shortage of sow and young pigs capacity, and difficult situation with fodder. Judging from the abovementioned, pork price will keep moving within flat, with a tendency to growth. Support is provided by point 76, resistance – by point 82.
At this point pork market does not provide specific interest for option trade. More detailed information about option trade can be found out at webinar, participation in which is already open.
