MURICO.com Forum

The CME component on the kill for - - -

3/2/15 was UP 1.25 to 67.40. The "Gap" to the JJJs is now closed and further strength in the CME Index will likely push the JJJs up a little.

It may be a different story with the MMMs.

The MMMs are still premium to the component by 15.28. Usually the index does not gain that much between now and the expiration of the MMMs so I continue to expect the MMMs to cough up a few points. That is the song I have been singing since 2/17/15 and during that time the MMMs have actually gained 4.675. This once again points out the wisdom of using my bias as a decent fade. ITZ says, though, that you both may be right - it's just that one might be right longer than the other.

Maybe my turn is still coming. After all, there is quite a bit of time between now and 6/12/15 when the MMMs go to cash settlement.

The six-day moving average carcass weight eased to 214.62# and it was non-packer hogs that dropped the most. This is only +0.68# year/year. Producers seem to be getting quite current in their shipments.

Best wishes,

dhm