4/30/18 was down 0.25 and the model projects that the component on yesterday's kill will be up between +0.20 and +0.50. The component will probably be up while the Purchase Index was down because packers still have a significant inventory of more expensive hogs purchased. It seems likely that the component might dip a little one of these days. The fact remains, though, that the supply of hogs tends to dwindle this time of the year so the chances are quite good that the index is going to be steady to firm. My bias is that it will not be firm enough to close the "Gap" to the KKKs so I am a bit short the KKKs.

Best wishes,

dhm