was the correct thing to do, maybe buying Dec cattle will be proven correct also but it's very hard to trade the cattle since that market is so disconnected from the fundamentals or any rhyme of reason. Has been for some time but that's what happens when a market looses a good share of its hedger participation because of the loses they have been handed by the disconnection.

Being short the hogs may only be good until we get the report. It's not uncommon for a $5 sell off(profit taking) before the report and then snap back to retest the high. If the report is not surprisingly negative, I expect sideways topping until Aug takes over as front month------then we can prepare for the start of the ride down the $40 mountain that has been built over the last 7 months. The sad part about it, the Oct & Dec hogs are already half way down as they usually are.

My producers have 25% of their Oct production hedged and hoping we are slapped with some margin call rallies so we can get the 76.00 target in place along with some 69.00 Dec production. I fear the market will not cooperate for those higher targets.