Cash will be called lower simply because of the huge numbers coming down the pipe and due to the fact that product is showing no signs of strength. Ive been told by several that cash prices are low enough. Really? Packers are now booked thought most of next week. Why would they turn the bids higher in this environment? Exports sales were sluggish at 14.2 MT which is down 34% from the 4-week average. Shipments were better at 24.3 MT, up 2%. Japan, S. Korea and Mexico were buyers of about the same amount of pork last week. The largest shipper of pork was Mexico, moving 8,500 MT followed by China which received 5,900, Japan at 3,100 and S. Korea at 2,100. This is not bad business but it does not match up with the hysterical headlines of last week. Headlines drove prices sharply higher last week and reality is pushing prices back down and into the gap created last week. On a sharp break well look to purchase the Dec 74 calls. Also look to establish long term bull call spreads in the June options.

I am long Hogs Feb, April, and June, just bt 3 June at 90.35 and have orders in for more.
Dewey