12/18/14 kill. It was down -$1.34 and the model projects that the CME Lean Hog Index component on the 12-18-14 kill will drop between -0.85 and -1.15. Packers are getting serious about lowering their bids for hogs. The Purchase Index has dropped every day since 11-22-14. That is quite a down trend and trends will end.
Packers made only a fair purchase yesterday at 86.0% of the moving average of daily purchases.
I think we are going to have to wait until after the first of the year to see much strength in the hog market. I had an order working to sell a Feb cattle/hog spread at 78.65. The market moved up until I was the offer and then headed south.
Best wishes,
dhm