Cash was strong yesterday, better than expected by most and actually stronger than expected by bullish traders like myself. Pork export data, released yesterday after the close, showed April exports strong…up 7.6% compared to April of last year. So the impressive trend toward strong exports continued after the first quarter. First quarter pork exports accounted for 22.3 percent of total production compared to 19.6 percent in the first quarter of last year. This demonstrates how and why hog prices are moving higher in the face of record large production. Focusing on the short term, most active July futures have been down for three days after posting fresh contract highs. Based upon my assumption that the highs are not in place, we will be approaching the July from the long side on early weakness today. Stability in the product is a good thing and pork is in an excellent position to compete with both beef and poultry. I remain bullish. Cash looks higher for today.

I had several orders in to buy July this morning starting at 80.10 going down to 79.20 and of course nothing was filled. I have several long July and was just going to add to them. The big question for me now is "are we going to have July 4th surge? DH can figure that one out better than me!

Dewey