8/27/14 was down -$1.22 and the model projects that the CME Index component on the 8/27/14 kill will shed between -1.20 and -1.50. This down trend is like an Energizer battery, it just keep Going! and Going! and Going. Looking at the way cutouts fell out of bed yesterday, it is possible that this down trend is going to keep going a bit longer.

The weakness in the VVVs this morning has opened their discount to the Index component to 4.18.

Yesterday my grand daughter went to the grocery store for me. When she returned she had purchased two quite large pork loin roasts. When I inquired why two she said, "If I bought one, I got one free!" It appears that at least one store is finding it a bit slow moving their product.

With the 6-day moving average weight of packer hogs falling faster than for non-packer hogs has me thinking that packer that the down trend in the CME Index has a ways to go.

So a sold a VVV this morning at 95.35. I will keep a fairly close stop on it.

Best wishes,

dhm