Market Report- Week of January 18, 2020
Last week’s cattle harvest was steady with prior week but jumped 2.1% over a year ago. Heavier carcasses boosted beef output 4.3% over the year prior. The USDA cutouts were frim amid larger output, with the chuck and loin primals leading the upside. Also contributing to the increases were the beef 50s which moved into the mid -$.40s throughout the week. Further upside is projected. Domestic 90s edged into the $2.16 area and look to continue higher – most of which is seasonally normal as cow harvests fade. Imported lean beef prices remain mostly steady, but smaller imports from Australia are likely to be supportive.
Pork production last week fell sharply, down near 7% (w/w) but still 6.7% larger than a year ago. Then individual pork items were widely choppy, with hams up sharply while the belly primal fell modestly. While the bellies were lower last week, seasonal strength is expected into late January before prices ease into late winter. Pork 42s prices are mostly in line with seasonal expectation. But a slow uptrend is likely into mid-spring.
C.M.E./Chicago Mercantile Exchange
Block: $1.6981, DOWN from last week of 1.779 an decrease of $.2139/lb
Barrel: $1.4456 DOWN from last week of $1.606, an decrease of .0095/lb
Butter: $1.4163, UP from last week of $1.4095 , a increase of $ .11/lb
Oils & Shortenings
Hover over each box to reveal whether the prices have gotten higher or lower.