Weekly Livestock Market Update with Scott Brown, May 27th 2019

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•This week in the markets – Live cash cattle were down $1 this week, while feeder cattle trended $2 to $4 higher. June live cattle futures were $.25 and August feeder cattle futures down nearly $3 this week. Choice box beef price was unchanged this week with weakness in ribs and loins offsetting strength in the brisket and rounds. Cash hogs were down $.75 for the week. The June lean hog futures contracted dropped $6. Pork cutout value was down $2 this week – on weakness in all components except hams. •Cold Storage – Beef ending stocks for April were down 5 percent relative to the previous month. Pork ending stocks were up 2 percent for the month, but down 2 percent on the year. Chicken ending stocks were up 3 percent from a year ago. The repot likely suggests positive news for beef and pork markets, while chicken stocks set a more negative tone for prices in the short-term. •Livestock slaughter – April 2019 contained on more week day than April 2018. Beef production was up 6.8 percent relative to a year ago and pork production was up 5.9 percent. That puts the year-to-date numbers at 1.1 percent and 3.6 percent higher year-to-date. Cattle weights have recovered to year-ago levels, which suggest beef production will run above year-ago levels for the remainder of 2019. Beef cow slaughter is 3.4 percent above last year, suggesting beef cow inventories are not growing. •Cattle on Feed – Cattle placements for April came in at 108.7, while that number does seem large, it is at the low-end of pre-report estimates. On feed as of May 1 came in at 102.2 – also at the low-end of the range. •Trade, Aid, and China – Scott and Meghan recap what’s been happening in the last week as it pertains to the livestock sector. •Next week’s reports – Restaurant Performance Index

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