He wants a hug after he breaks up with me?

Yes, that's a prettty good sign he still wants to be friends and there aren't any bitter feelings about the break up.

Why wouldn't you hug him?

He probably regrets breaking up with you. I think this is his way of showing you he still likes you. He might be trying to move back in slowly.
It takes guys (espcecially the young ones) them a couple of days, or weeks to realize they made a mistake. Some of them know what to do to "undo" the breakup, while some are completely clueless. Maybe this is his way of showing you he made a mistake.
Or he could be playing "dumb", and acting like nothing happened. Hoping you would play along. Since you let him hug you, he probably thinks you wouldn't mind him talking to you, calling you, touching you, etc. So it was probably a test to see where he stands.
Its upto you to put him in his place, and show him what you're worth. Or let him back in easily, which would make him think he could get away with these things.

By the way, I know you're confused on where you stand in his life, but don't worry about it. Just stick to what you know. He dumped you. By text. I mean, he did send that text didn't he? So stick wtih it. and don't let him win. If he talks to you, then good. YOu deserve that explanation. But if he continues to give you these mixed signals, move on.

That means he still loves you and it is hard for him to let you go but for some reason he has to.

He broke up with you through a text message? I have no respect for guys that can't even give a phone call. He's obviously not worth much if he can't step up about it. And the hug thing? Well, if you guys were good friends before you dated, then he still wants to be friends and didn't consider your relationship to be that serious. If not, then he's probably playing you a bit. Remember, high school guys aren't the most reasonable or mature usually.