6/23/16 kill was up 0.20 to 84.51. The NNNs are now trading discount to the component by -0.44. The 6-day moving average carcass weight dipped to 210.21#. That is -1.88# year over year. Packer hogs are only 1.02# heavier this morning and index hogs are lower at 209.26#.

The last H&P report projected that the under 50# category of hogs was down -0.36% from last year. If the report was correct we will see the kil rate fall by a percent or so over the next few weeks. If we have a glut of hogs in the pipeline, it may be down the road a ways. Most likely after the NNNs and QQQs expire.

The H&P report is going to give the market something to think about.

Best wishes,

dhm