10/18/17 was up, way up, at plus $1.21 and the model projects that the component on yesterday's kill will jump between +0.80 and +1.10. That comes on top of the big +1.39 jump we got yesterday. Packers seem to really be wanting hogs right now. The ZZZs settled premium to the component by +0.84. There is a lot of time between now and when the ZZZs go to cash settlement. Like ITZ says, there is a lot of confusion in the market place right now and Spike is going to get that volatility that he foresaw.

Yesterday with their higher bids, packers only purchased 85.6% of the moving average daily purchases of total hogs. Maybe that is partially why the index was up, they had to turn to index hogs to meet the short-fall in total hogs. The did get 93% of the moving average daily purchases of Index hogs.

I have no directional bias and am flat the ZZZs. I will try to catch some of the suckers ITZ throws back using a trend line reversal system since I can't fish while I keep loading and unloading calendar spreads.

Ka!! Ching!! Got my profits on a long Z/G spread that had been on my boat since 7/11/17. Sometimes these spreads take a lot of patience.
Best wishes,

dhm