7/9/15 was up +o.45 to 79.46. The NNNs are now discounted to the component by -0.18. With four more days of data, the NNNs will most likely follow the index quite closely. Traders don't seem to agree with my model which is projecting that the cash settlement index will be 80.07 with a range of 79.57 to 80.57. At this point I am not as concerned about loading my boat as I was last night.

The six-day moving average carcass weight was nearly unchanged at 211.37#. That is -2.05# year/year but +7.30# over 2013. It is easy to understand all that pork making traders a bit bearish. For some reason, though, packers are bidding up for hogs and that drives the index which is the underlying for the futures. So I wait for cash settlement.

Best wishes,

dhm