The final Purchase Index for - - -

1/25/19 was down -0.02 and the model projects the component on Friday's kill will drop between -0.15 and -0.45. Packers may be accumulating some less expensive hogs. The really bought a bunch of them - - - 130% of the moving average daily purchases of total hogs and 133.5% on the Index hogs. Producers may be quite motivated to sell hogs. There seem to be quite a large number of hogs finishing. The kill last week was up +5.84% Year/Year. The percentage of packer hogs in the kill mix is now declining. Perhaps packers were shipping their hogs at a brisk clip in anticipation of the price dip we have seen the past few weeks.l

The sell-off Friday caused the GGGs to settle discount to the component by -0.11.

I had a dental appointment Friday and missed the fireworks. It was not a fun day to be long the summer futures, I tell you that.

Best wishes,