11/6/17 was down -$0.93 and the model projects that the component on yesterday's kill will drop between -0.35 and -0.65. Packers still have an inventory of more expensive hogs that may tend to be mildly supportive to the component for yesterday. It does appear that the up trend is history and we may now be in a down trend.

The ZZZs settled discount to the component by -4.18 suggesting that "The Market" now thinks packers will be cutting back on what they will pay for hogs. Cutout stayed firm yesterday.

Best wishes,

dhm