2/22/16 was up +0.08 to 66.44. That is very much in line with what the model projected.

But there is something crazy going on in the hog market!!!

The 6-day moving average carcass weight dropped to 212.98#. That is a one-day drop of -2.11# in the non-packer hogs.

That's huge for the six-day moving average carcass weight to make a move like that is one day!!

Index hogs are staying stable at 212.39#. Well actually that is down a little but nothing compared to the drop in weight of the non-packer hogs.

The surge in the JJJs has opened the "Gap" to 3.61 with the JJJs being premium to the component.

If this collapse in the carcass weights is an indication that producers are running short on market ready hogs, things are going to get a bit interesting. The last H&P report indicated that further into spring we could expect a mild decrease in the number of slaughter hogs but not this soon nor as severe as the drop in the carcass weight may be foretelling.

Spreads have been trading well for me today and scalping the JJJs has worked out all right - - - nothing earth shaking just all right.

Best wishes,

dhm