The afternoon Purchase Index for - - -

10/29/19 was down -0.80 and the model projects the component on yesterday's kill will drop between -0.30 and -0.60. The down trend continues. It is no fun being a hog-bull the past few days, Dewey. The primal cuts posted a nice gain of +0.69 and with the help of a lower component, pushed the packers' gross margins up to $28.20/index hog. That may be enough to keep packers from dropping their bids too much.

With their lower bids, packers were able to purchase 85.4% of the moving average daily purchases by the time the afternoon reports were released. That is a fairly good purchase for a Tuesday. Index hogs were a bit higher at 93.4%.

The hustling calendar spreads on and off my boat is the only thing that is keeping my margin from suffering a world of hurt. World pork supplies seem to be contracting so I hate to give up on being a hog-bull until Trump and Xi have a little more time to solver their differences.

Best wishes,