Slaughter rates higher, wholesale prices lower
- Wholesale beef and pork price have nosedived in the past two weeks.
- Friday’s choice boxed beef cutout closed at $261.48/cw., a 28% decline for the week and 45% lower than the high we set on May 12th.
- The pork cutout closed Friday at $72.78/cw., down 17.5% from a week ago and 40% lower than the peak on May 11th.
- These numbers suggest that the majority of our meat processing plants finally getting back to normal levels of slaughter.
- According to Steiner Consulting, last week’s cattle slaughter was estimated at 636,000 hd., the highest since the last week of March and only 4.3% lower than a year ago.
- The weight of steers and heifers being slaughtered is approximately 4-5% higher, so net fed beef supplies for last week were similar to a year ago.
- Hog slaughter last week was 2.452 million head, the highest since the first week of April and 1.7% higher than a year ago. Heavier hog carcass weights have increased pork production by 4.2% compared to a year ago.
Three poultry execs plead not guilty to price-fixing
- Three of four poultry executives who are accused of conspiring to fix chicken prices and rig bids for broilers have entered pleads of not guilty. The fourth executive requested a continuance in order to hire new counsel.
- All four executives were released on their own recognizance.
- If convicted, the executives face a statutory maximum penalty of 10 years in prison and a $1 million fine.
Boxed beef prices
- Choice boxed beef: 254.58 (-6.90)
- Select boxed beef: $231.12 (-15.30)