shows that packers have a slightly smaller number of hogs scheduled today than they had on this day last week - -

But - -

They have 137K more than on this date last year. That is a year-over-year increase of 5.81%. According to the last H&P report, that is just out of line with the number of hogs producers supposedly have. Carcass weights falling in the face of cool finishing weather and fresh corn smacks of producers being motivated sellers and pulling hogs forward as fast as they can. Packers are taking advantage of this knocking their bids down in a hurry.

Of course packers are under the gun and just about have to cut their bids because they are having trouble selling all the product.

If the last H&P report was correct and this high kill rate is the result of hogs being pulled forward, the stage may being set for a significant rally when holiday demand surfaces and hogs are in tight supply.

Best wishes,

dhm