12/2/19 was UP 1.23 to 58.20. The ZZZs are trading premium to the component by+2.90. Once again the change in the component was a surprise. At least I was thinking the likelihood of a significant down move was minimal and help the long ZZZs. Actually I bought two more this morning, one of which is a scalper that I will take profits on if it moves up a a few more tics.

The six-day moving average carcass weight eased to 215.85#. That is +1.92# yr/yr. Index hogs were a bit heavier at 214.68#. Packer hogs are heavier than the non-packer hogs by +1.43#. The percentage of packer hogs in the kill mix stands at 38.8%. It appears that packers are still holding a few of their hogs back and preferring to purchase hogs to kill.

Packers gross margins are still very good at +$54.92 per index hog.

Best wishes,

Dpc