The CME Lean Hog Index component on the kill for -

3/23/18 dropped -1.15 to 60.84. The JJJs settleld discount to the component by -2.81. Traders think the Index is headed lower and they are most likely correct in their thinking.

The 6-day moving average carcass weight firmed to 215.10#. That is +2.24# yr/yr. Packer hogs continue to be heavier by 1.65#. That was a gain of more than 1/2#. Non-packer hogs were also heavier but not nearly that much. Index hogs were also heavier at 214.82#. I am beginning to think that packers expanded production more than the non-packers and now packers are in the process of doing some liquidation.

Best wishes,