UP by $1.92. The model projects that the CME Component on the 6/24/14 kill will surge by something in the range of +1.35 to +1.65. Packers really had a strong appetite for hog yesterday.

The premium of 8.47 that the HEN4 is showing over the index seem quite wide. In the last ten years the most the CME Index has gained between this date and expiry has been 1.12 but historical averages don't rule. The supply/demand fundamentals of the present will determine where the cash settlement index will be in 13-trading days.

Best wishes,

dhm