3-13-15 was dpwm-0.384 to 64.91. That puts the JJJs at a discount of -3.93 to the component and the MMMs are premium to the component by +9.32. In the near term traders seem to be convinced that the price of hogs is headed lower.

The six-day moving average carcass weight firmed to 214.76#. That is +0.53# yr/yr. Both packer and non-packer hogs were heavier but the non-packer hogs were up more than the packer hogs.

With the kill last week being up more than 10% and cutouts down more than a buck, it just doesn't feel like we are going to see much of a bounce in the index very soon.

I bought a pair of April/June spreads this morning @ -13.85. My decision to take this plunge was mostly based on my belief that the MMMs are at too much of a premium to the Index.

Best wishes,

dhm