4/7/17 was down $0.73 and the model is projecting that the component on Friday's kill will drop between -0.45 and -0.75. The JJJs settled discount to the component by -2.17 on Friday. It is beginning to look like there may be a mild "Snowballing" in the rate that packers are cutting their bid prices. I tried to sell another pair of the JJJs at the opening bounce but fumbled the order. I probably have plenty of short JJJs without that pair but we may get another bounce today and I will be "Johnny-on-the Spot" to get a sale made.

Packers purchased 110.2% of the moving average daily purchases on Friday. For a weekend, that is a modest purchase.

When the 201 report comes out I will up-date the projected cash settlement price for the JJJs. At this point it looks likely that the falling index will push the JJJs lower at cash settlement. I'm short April calls starting at the 65s.

Best wishes,

Doc