MURICO.com Forum

The final Purchase Index for - - -

7/24/18 was down -1.25 and the model projects the component on yesterday's kill will drop between -0.80 and -1.10. Yesterday it dropped -0.89 to 75.65. The QQQs settled discount to the component by -10.10.

Packers purchased 99.6% of the moving average on total hogs and 105.9% on the index hogs. It looks like the producers of index hogs capitulated yesterday and went for the lower bids. Looking at the way bellies crashed yesterday, this down trend may have a ways to go before we hit the trough.

Still long the MMMs. We should hit the trough before then and there could be some bounce to the MMMs.

Best wishes,

dhm