Look for flat to lower cash hog prices today and again on Friday. Hog futures rallied yesterday on very light volume of trade reported at just 27,000. Open interest on the rally was up 824 cars. Fundamentally I dont see anything for the board to get excited about, anything to drive this market upward and power through resistance. Trade in the options reveals that put volume yesterday was five times larger than call volume. This week the Feb 66 puts have seen very active trading. We discussed selling Feb hogs in the first ten minutes of trade today, putting a 60 point risk on the position from your entry price. Consider buying the Feb 65 puts at 105 points todayalso risking 60 points. The hog & pig is tomorrow at 11:00 Chicago time. Trade estimates are below.

Hog & Pig Estimates

Ave range

All hog & pigs on Dec 1st 102% 101-103

Kept for breeding 101% 100-102

Kept for market 102% 101-103

Sep-Nov pig crop 102% 101-103

Sep-Nov pigs per litter 101% 100-102

Sep-Nov farrowings 101% 100-101

Dec-Feb farrow ints 101% 99-102

Mar-May farrow ints 101% 100-102

I Sold 10 GGG's this morning at 69.13 and out at 68.40 Also sold 5 JJJ's at73.50 and out at 72.95 for a day trade!

Have no more orders in but might consider buying if they drop out of bed today! Because of P/R tomorrow at 11:00 I would like to see numbers before having much of a position.

Good holidays to all,
Dewey