1/4/17 kill was, to my surprise, down -0.32 to 57.46. Packers just keep coming up with cheaper hogs to kill when the Purchase Index shows they are paying a bit more. The hog market is full of surprises. I continue to believe packers know best and they are continuing to finish their hogs out to +5.96# over the non-packers. I think they are wanting the pork.

The GGGs are trading premium to the component by +6.94. Traders are thinking about closing that a little today.

The six-day moving average carcass weight moved up to 213.28#. Packer hogs were +0.6# and non-packer hogs were not up nearly that much. Hogs are -1.51# year over year.

The G/J spreads are really treating me well today.

Best wishes,

dhm