The latest federal hog inventory report shows modest changes in U.S. hog numbers, underscoring continued uncertainty for pork producers heading into the new year. USDA data indicates that total hog and pig inventories are slightly higher than a year ago, while the breeding herd remains relatively stable. Farrowing intentions suggest producers are cautiously managing production amid fluctuating feed costs and uneven demand. Analysts said pork markets remain sensitive to export trends, particularly shipments to Mexico and Asia, as well as domestic consumer spending. Feed prices have eased compared to recent years, offering some relief, but margins remain tight. Producers continue balancing the risk of overproduction against the need to maintain cash flow. Industry groups said profitability will depend heavily on market access and price stability in 2026. The report highlights the delicate position pork producers face as they navigate uncertain economic conditions.
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