7/8/19 was down -0.07 and the model projects the component on yesterday's kill will drop between -0.30 and -0.60. Packer probably have an inventory of cheaper hogs purchased that will be a drag on the component. The NNNs settled discount to the component by -1.39 with six days of data to get us to cash settlement.

Yesterday packers purchased 92.6% of the moving average daily purchases of total hogs and 84.9% on the index hogs.

The data seems to suggest that short the NNNs is the better choice.
..
Best wishes,

Doc