7/11/16 was down -0.66 at 81.57. That has closed the "Gap" to 1.52 with the NNNs being at a discount to the component. There are four more days of data coming to get us to the cash settlement for the NNNs.

The 6-day moving average carcass weight eased to 209.44#. That is -1.68# yr/yr. Producers are staying current in their shipments and they have brought the mild backlog from the holiday to market. Both the packer and non-packer hogs were down about a quarter of a pound. Probably hot weather is at least part of the explanation. Index hogs continue to be lighter at 208.73# and packer hogs are only 0.98# heavier. Packers have been moving their hogs out at a fairly rapid clip. The bounce that the NNNs have given this morning may be about all we get.

Best wishes,

dhm