2/24/17 was down -0.72 to 76.44. That was in line with the projection the model spit out. The JJJs are now trading discount to the component by -7.94. That's quite a "Gap" but packers know how to close "Gaps" if they have a margin problem. I think ITZ may have just thrown a sucker back so I bought it looking for a small bounce. I have a very tight stop so won't risk much.

The six-day moving average carcass weight firmed to 212.62#. That is -0.54# yr/yr. I t appears that producers are quite current in their shipments. Packer hogs are heavier by +3.55# so they are not as current as the non-packers. If the export market is going to be crushes, packers may have been caught with their barns full of heavy hogs and a sloppy pork market. Non-packer hogs dipped by 2/5# today. The percentage of packer hogs in Friday's kill was smaller than usual.

I'm being mighty careful today and I think a lot of spread traders are also because I am not seeing much spread action.

Best wishes,

dhm