Market Update
· All is quiet in the poultry industry. There is optimism that further cut backs are still on the way to help breast meat pricing, but we’re still seeing adequate to a little excessive inventory.
· Pricing still very subpar considering corn around $6.00. corn has dropped from $7.50, but still a long way from profitability even at $6.00. Most poultry producers now have their hopes pinned on a mid November sustain cut back target date. They are hoping most cut backs will be in full force by then, with year over year cut backs equating to 9-10% less over all birds and weight similar to year prior. If this truly is the case- (which these bozos don’t always tell the truth) - the pricing should start moving up?! We shall see.
· Most items are steady this week, with trade levels on breast meat a little higher than last week.
· Dark meat seems to have slowed down, and I still expect the formal market on thigh meat to drop soon.
· Wings still the hot item, and everything else fairly steady.
· First of the month retail ads seem less prevalent, but inventories and export market keep inventories in check.
