11/24/14 was UP +$0.24 and the model projects that the CME Lean hog index component on the 11-24-14 kill with move up by something in the range of +0.10 to +0.40.

Packers made a decent purchase yesterday at 104.2% of the moving average daily purchases. That probably means they now have good numbers scheduled since there is a holiday this week.

The rally in the ZZZs has put them premium to the component by 3.25. That seems a little wide however it may not be if the low kill rate since 9-1-14 means that produces have fewer hogs than the USDA reported.

I covered another short Feb Cattle/Hog spread this morning. I only have one left now and am more interested in selling again rather than now buying.

The Z/G spread may be a little wide. I sold one this morning at +0.900

Best wishes,

dhm