2/7/17 was right in line with the model's projection at +0.46 putting the component at 72.40. The GGGs are now premium to the component by +0.82. This bull run in the Index may push the GGGs up a little more. There are only four more trading days until we go to cash settlement. There is a good chance that the component will be up again tomorrow because packers still have an inventory of more expensive hogs to run through their plants.

The six-day moving average carcass weight was unchanged at 212.38#. That is -0.30# year/year. Packer hogs are +3.89# heavier than non-packer hogs. I continue to view this as a bit bullish sign.

Still long the GGGs and have been scalping them a bit this morning. Today I got some Benjamins. They are better than Jeffersons.

Best wishes,

dhm