LEAN HOGS:
The bull spreads continue to explode with Aug and Oct gaining dramatically on the deferred contracts. This is occurring in the middle of the Goldman Roll, further adding to the confusion. Talk of lower cash is beginning to dissipate a bit. Perhaps the packer has finally gone too far as they’ve hammered the cash in the middle of summer. Weights are expected to drop tomorrow.

Despite the improving action on the board there’s nothing positive to discuss at this moment in the product. It all looks heavy in the face of huge production for this time of year.