3/31/16 was up +$0.15 and the model projects that the up-trend in the index will continue when the 201 report comes out and will show a gain of something like +0.05 to +0.35 in the component on yesterday's kill. With their mildly firmer bids, packers did not get a very strong purchase yesterday at 88.01% of the moving average daily purchases.

The JJJs settled yesterday at a premium of +2.70 over the component. The weakness in the JJJs and the gains by the index has closed the "Gap" to the point that the JJJs will be strongly influenced by the component. And the pre-opening is suggesting that the JJJ may open up a bit. With cutouts being weak yesterday, there may be only muted strength in the JJJs at best. I carried a short JJJ over night.

Best wishes.

dhm