Whither Peavy?

Atlanta has officially pulled out of the Jake Peavy auction the Padres have been running, presumably leaving only the Cubs unless the Pads can come up with other trade partners. Could the Yanks, who are extremely committed to fixing their rotation get into the talks? I wonder. I think they'd have to ask themselves if they think that Peavy over the life of his deal will be better than Phil Hughes, Austin Jackson and one or two more parts. For his part, Phil Hughes had another good day in the AFL today, so he's gettting his work in, his velocity is good and his cutter is coming along. I guess we'll see what happens. I'm disinclined to trade for pitching now since the free agent market is flush with it -unless the Yanks can really get the better of a trade partner, I don't think that is possible where Peavy is concerned.

UPDATE: Fox's Ken Rosenthal is reporting that the Yanks and Padres have resumed the Peavy talks they cut off after the GM meetings. This will cost a bunch of pieces, Hughes and Jackson for starters, if it goes through.