The CME Lean Hog Index component on the kill for -

12/14/18 was unchanged at 55.13 so the cash settlement index is calculated to be 55.13. Those going to cash settlement long the ZZZs will pick up a few ticks. The GGGs settled today premium to the component by +8.69. Last year from this date until the date until the GGGs expired the index moved up by 10.31. It seems possible to me that increased export demand this year because of the ASF virus that demand could be a bit stronger this year than it was last year so the gain in the index this year could match last year's gain. Perhaps I missed a chance to get long the GGGs when they dipped today. Maybe tomorrow will bring an even better chance to get long. At any rate, I now have a bias as to the side of the GGGs I want to be on.

The six-day moving average carcass weight was steady at 214.17#. That is -0.54# year over year. Producers seem to be quite current in their shipments. Index hogs were a bit lighter at 213.59# and packer hogs were heavier than the non-packer hogs by +3.26#. Packer hogs keep getting heavier and heavier than the non-packer hogs and the percentage of packer hogs in the kill mix continues to climb. My read on this is that packers are bullish. They know better than I so if they are bullish, I want to be bullish also.

Being long the summer futures did not pay-off today and they didn't dip low enough to hit my "Buy" orders. Maybe tomorrow I will get to buy more or sell some to lock in some profits.

Best wishes,