5/29/19 was down -0.65 and the model projects the component on yesterday's kill will plunge between -0.30 and -0.60. As the day wore on yesterday, packers cut what they were willing to pay for hogs. Perhaps it was influenced somewhat by the fact that bellies were not selling well and had to take a one-day "HIT" of -15.46" on them. Packers' margins are not in very good shape right now with cutouts at 84.48 and the component at 82.24. It is better than the negative number we saw a few days ago.

Packers purchased 104.4$ of the daily moving average of total hogs and 100.5% on the index hogs.

Best wishes,

Doc