7/2/15 was down -$0.09 and the model projects that the CME Lean Hog Index component on the 7/2/15 kill will fall in the range of +0.05 to -0.25. It is feeling like the down trend in the CME Index is on the verge of coming to an end. It has been quite a down trend lasting since 6/3/15 and dropping the CME Index by 5.50.

It just might be that the last H&P report overstated the 180# and up category a little. The high kill rate we saw in June may have been some liquidation of market hog inventory by producers. I say this because the 6-day moving average carcass weight has dropped about 3.0# in the last month.

Now to see if the long Q/V spreads will work for me again today.

Best wishes,

dhm