2/15/17 was up +0.50 and the model projects the component on yesterday's kill will jump between +0.40 and +0.70. When the component came in Gap" to -4.88 with the JJJJs discounted to the component. That just seems a little wide during this season of the years when there is a tendency for supplies to decline. Additionally, it appears to me that these high packer bids have pulled hogs forward some. I say that because the carcass weights have declined some during the past couple of weeks especially in the non-packer hogs.

Declining weights and escalating prices does not strike me as bearish sign, but they say "The Market" is always right.

Packers made a reasonable purchase yesterday at 95.5% of the moving average daily purchases.

Best wishes,

dhm