12/1/16 was up +$1.49 and the model projects that the component on yesterday's kill will jump between +0.50 and +0.80. With their higher bids yesterday packers were only able to purchase 79.7% of the moving average daily purchases. It appears that producers have indeed ipulled hogs forward and exports seem to be picking up at these lower prices. Now I am beginning to understand why packers have shifted to finishing their hogs to heavier weights. They have had a better feel for the hogs in producers' barns than I, so they have put in place a program to make up for the shortage of numbers they perceive are coming with some heavier hogs of their own.
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The ZZZss settled premium to the component by +1.14. It appears that a lot of that will evaporate away when the revised component comes out this morning except the pre-opening says that traders are going to move the ZZZs higher.

I'm still long the ZZZZs and actually added a couple yesterday.

Best wishes,

dhm