MURICO.com Forum

The final Purchase Index for - - -

6/14/18 was way, WAY UP again yesterday. This time by 1.73. That is just about the largest one-day jump we have seen during this spring's rally. The model projects that the component will be up +1.25 ti +1.50. It takes a gain of 1.04 to close the "Gap" for the cash settlement. If the packers didn't choose to run cheaper hogs through their plants yesterday (if indeed they have any cheaper hogs), then going into cash settlement long is going to be pay day for the who realized how strong this up trend is and mustered the courage to go to cash settlement long.

Packer only purchased 80.7% of the moving average of total hogs byt 92.4% on total hogs. Hog numbers are seemingly tight relative to packer demand.

Best wishes,

chm