MURICO.com Forum

The CME component on the kill for - - -

10-6-14 was UP 0.78 to 110.30. Even though the VVVs are up sharply, the component is over the VVVs by 1.88 due to the jump in the component on yesterday's kill.

The six-day moving average carcass weight slipped to 213.19#. The big driver in this slump was packer hogs. Their 6-day moving average carcass weight dropped 0.86# which was quite a bit more than the 0.17# dip of the non-packer hogs. It does not appear that packers were particularly aggressive in killing their hogs with 32.59% of the kill being packer hogs. It just might be that packers are in a short supply of hogs in their barns.

If that is the case, they may keep their bids firm to bring in the non-packer hogs.

For some reason, for some time I have had this feeling that packers suffered a bit more than the non-packers from the PED virus epidemic. That is consistent with the falling weight of packer hogs and a weak percentage of packer hogs killed.

Am long the VVVs and have scalped a couple from the long side.

Best wishes,

dhm