2/10/17 was up +$0.24 and the model projects that the component on Friday's kill will be up between +0.25 and +0.55. With the GGGs trading premium to the component by about a point it appears that the GGGs are probably priced about right. The surging index may push the GGGs up another half point or so but that may be it. I will gradually liquidate my long GGGs if they climb much otherwise they are headed for cash settlement.

Packers made a fairly good purchase yesterday at 126.3% of the moving average daily purchases. This is the usual pattern for the Monday reports to show larger purchases because of the weekend.

I decided to take a June cattle/hog spread profit this moring. It was a nice trade. Thanks for the "Heads-up", ITZ. If it pops a little, I will put it back on.

Best wishes,

dhm