1/27/17 kill was up +0.12 to 68.47. The GGGs are now trading discount to the component by -1.32. Considering the strong up-trend we are on and the firmness of the cut outs, that seems out of harmony with the fundamentals, but, hey, hogs will do what hogs do - - - dish out surprises.

The six-day moving average carcass weight was a little firm at 213.69#. Packer hogs continue to be heavier now by 4.37#. Hogs are now heavier than they were last year on this date. I think packers are wanting more pork so I am staying long the GGGs for now. A couple of bearish reports could send me to the sidelines. They have not come yet today.

Best wishes,

dhm