I missed my chance for the June cattle/hog spread. It's happened before but not too often. After burning a lot of midnight oil last week, doing overtime in research, I came to the conclusion we may be getting a repeat of 2009. I've talked to producers about this year being a retest/reset the lows cycle since late Dec. I didn't think it would start this early but that's what happened in 2009 and the bear had a long feast clear into late Aug before he had his fill. In 2009 it was swine flu that set it off and this year its trade tariffs on top of year on year on year of record production to destroy demand.

Anyway yesterday I had my hedgers placing sell stops at 74.82 my 60 minute sell signal and the close gave us no other choice but to add another layer of sell stops today @ 72.92 which had me on edge because it could have easily been a sucker trade for me. Since it wasn't, I've never seen a happier bunch of guys looking at a down market. I'm feeling pretty good myself, still holding 1 from 74.77 and todays 72.80 that I plan on holding into tomorrow. I'll probably regret it. Reality hasn't sunk in yet for my hedgers because they are overlooking the fact that they are only protected on their June hogs. I don't have a clue for what to do about Aug and Oct production when the bottom of this Abyss will be found if it continues to play out like 2009.