When you click on links to various merchants on this site and make a purchase, this can result in this site earning a commission. Affiliate programs and affiliations include, but are not limited to, the eBay Partner Network.
The SPOUT is a squarish jumper plug that allows the signal from the PIP (pickup inside the distributor) to get to the Powertrain Control Module.
EDIT: I'm sorry to provide bad advice.
The spout is in the path coming from the computer, not the distributor trigger to the computer.
You need to remove it when setting base timing, otherwise the computer is constantly trying to adjust (correct) what you are doing.
I'm not exactly sure where in the harness it is located on a 1990 7.5.
Follow the distributor harness back towards the PCM.
It is likely within inches of the distributor or right near the DS hood hinge by the firewall.