Good morning Rich & Thanks for your post, I believe by the end of this week we will be able to get our heads around everything and put our priorities in order! The first priority is staying Healthy for us and our families. I have a daughter that traveled to Puerto Rico and returned home last Wed and she is to get the results of her test this afternoon. I have friends that were in Colo 3 weeks ago and the mother got her test results yesterday and it was positive! Hopefully the wife & I will stay healthy! We should know from trading Hogs that things change very fast sometimes!! Following is what I just received from my broker on his thoughts on the hogs-
The talk is that cash will be steady with packers trying to resist from bidding against each other. They certainly don’t want this cash to get away from them…..nice. Hogs are being pulled ahead aggressively. Last week’s kill was a monster and the largest kill of the year and nearly a record large weekly harvest. This week’s projection is not out yet.
Futures are sharply higher with April limit up. The rest of the board is trading with the summer hogs not penetrating last week’s highs yet. Eventually they should. Product is looking higher in all retail cuts with the hams and bellies the laggards. There is a cold storage report out today at 2:00 and quarterly hog & pig out on Thursday. Trade estimates are calling for all hogs & pigs at 103.5%, kept for breeding at 101.5% and kept for market at 103.5%. Upward revisions are expected as the last report appeared to undercount the market hogs.
We are bullish and Friday we purchased the Jun 84 calls at 90 and lower. These calls are worth about 150. Summer