talking to one of my producers yesterday, we were having a pity party over missing out on hedges for this months $5 range for hedges on our summer hogs when I accidentally pulled up a July chart. Talk about getting hit by a lightning bolt hedge opportunity since they have just triggered a major sell signal with the break below 78.50. We hedged 50% of his July hogs @ 77.00 this morning, mostly on the thoughts that July may want to narrow the premium it has over June.

What is the tendency of the June/July hog spread. I know that July is usually premium to June but your input would be greatly appreciated.