7/14/15 was DOWN -$0.24 and the model projects that the CME Lean Hog Index component on the 7-14-15 kill will be in the range of -0.10 and +0.20. Additionally, my Hog Pricing Model is projecting that the cash settlement index for the NNNs will be 80.20 with a range of 79.85 to 80.55. I had been planning on going to cash settlement with a boat load of long NNNs but the up-move may be just about over so I off-loaded a couple more this morning. If we get a little more bounce, I may go to the bank with still more of them.

The data continues to tell me that the USDA may have mildly overstated the inventory of market hogs especially on the heavier weights. That scenario makes me friendly toward being long the Q/V spread. If it dips a little more, I will load my boat a bit more with them. At the same time, I have some that can be dumped for a little profit if they rally.

Best wishes,

dhm