5/2/16 was up +0.70 to 72.16. That puts the MMMs premium to the component 1+0.62! That is quite a "Gap" when you consider that over the past twelve-years the Index has averaged gaining 1.00 points from this date until the expiration of the MMMs. Only twice in that twelve year period has the index gained more than ten points. In seven of the twelve years the index actually declined.

Those number are enough to make a 'fella blink and ask, "Do the traders know what they are doing in pumping the MMMs up like this?"

Coming from the paradigm that "ALL OF US IS SMARTER THAN ANY OF US" I will acknowledge that traders have the MMMs appropriately priced. But I tell you this, "I don't think I want to be long the MMMs."

At least not quite yet. And if I were to get long, I would want it to be a very short trade with a tight stop.

The six-day moving average carcass weight eased ever-so-slightly to 213.75#. That is +0.39# yr/yr. Packer hogs and non-packer hogs were both lighter by nearly half a point while index hogs were barely down at 212.67#.

Something has spooked the stock market. The S&P futures are down more than twenty points.

It looks like spread traders are taking a holiday today. That will give me a chance to catch-up on some book computer work which is replacing paper work.

Best wishes,

dhm