7/15/15 was down $0.42 and the model projects that the change in the CME Lean Hog Index on the 7/15/15 kill will be between +0.10 and -0.20. It is beginning to appear that the up trend has ended and we are headed lower for a while now. Based on this trend change, I sold a QQQ pig this morning at 75.675. Had orders to sell more higher but she didn't get there yet.

The QQQs are not trading discount to the component by -5.32. Traders are planning on packers dropping their bids a fair amount over the next month. Looking at the kill level, heavy carcass weights and modest cutout prices, they might be right.

Today we get the other half of the cash settlement index for the NNNs. I'm expecting very little change for last night's settle.

Best wishes,

dhm