8/24/17 was DOWN -$1.32 and the model projects that the component on yesterday's kill will continue its crash this time with a drop of something like -0.90 to -1.20. Packers are getting on with what they know how to do, widen and maintain their margins. With their lower bids they purchased 90.7% of total hogs and 88.9%. I believe there were more hogs than that finished and ready for market but packers didn't want them. If this is correct, hogs are being backed up and they will HAVE to come to market. In the mean time they are lounging around in producers' barns getting heavier which means more pork.

Still mildly short the VVVs with a fair amount of fear and trembling because of the huge "Gap" that currently stands at -15.43.

Ka!! Ching!! Just took profits on a short V/Z spread.

Best wishes,

dhm