12/12/17 was down -$0.54 and the model projects that the component on yesterday's kill will drop between -0.15 and -0.45. The ZZZs settled discount to the component by -1.16. With the cutouts now faltering and packers killing strong numbers, it does not seem likely that packers will hold their bids very firm for the next few days as we head for cash settlement. So I closed out my long ZZZs and will most likely go to cash settlement flat. I usually have a few to take to cash settlement but cannot see any opportunity this time around.

Best wishes,

dhm