4/20/17 was -0.50 to 60.85. The KKKs settled premium to the component by +2.18 and e MMMs were premium by +7.48. The model is not giving me a projected cash settlement index for the KKKs yet however in view of the continuing high kill rate I am not inclined to take a long position other than for a very short scalping trade. On the other hand I am short a couple of MMMs.

The six-day moving average carcass weight moved up to 213.80#. That is only -0.14# year over year. Producers may have got behind a bit in their shipments over the holiday weekend. And those hogs will now need to come to market. It was especially the packer hogs that moved up in weight. Packer hogs are now +2.45# heavier than the non-packer hogs. It is possible that packers are choosing to kill non-packer hogs now anticipating higher prices as we move toward the summer kill-slump.

Best wishes,

dhm

PS: I was quite busy Friday and didn't get this post made.