11/22/16 was UP +0.45 to 47.75. The ZZZs are now trading premium to the component by +2.10 but "The Gap" is really jumping around today. It is not clear to me yet whether the component being "Up'' represents a trend change or not but it just might be. If the heavy kill we have been seeing represents liquidation of market ready and near market ready hogs, it is possible that the possible December crash has been avoided. I know Iwas impressed with the fact that packers have NOT been piling up pork in freezers but getting it sold.

The six-day moving average carcass weight was steady at 211.04#. That is 2.70# lower than last year. The lighter carcasses goes quite a ways toward compensating for the larger number of hogs that are being killed. Packer hogs came in +3.15# over non-packer hogs. I suppose it is possible that packers are sensing that the non-packer-producers have been liquidating their market hog inventory so they feel a need to make up for a reduced kill a little later with some heavier hogs of their own. Even though packer hogs are heavier, they are -2.74# compared to this date last year.

I'm not short the GGGs now.

Best wishes and happy Thanksgiving to all. Make sure you serve ham!

dhm