8/17/16 was down -0.58 and the model projects that the component on yesterday's kill will plunge between -0.45 and -0.75. With their lower bids packers bought 97.0% of the moving avrerage daily purchases of index hogs and a very high 113.5% total purchases. Hogs are moving well and carcass weights are holding up in this warmer weather.

The drop in the VVVs this morning has opened the "Gap" to a -17.45. Isn't that something? Plenty of room there for a bounce but I am flat now and my wallet is also. My inventory of calendar spreads is the lowest it has been for a long time. I Have been able to add a few this morning at a price that seems reasonable.

Best wishes,

dhm