Livestock Marketing Information Center

USDA COLD STORAGE

            USDA NASS released the Cold Storage report detailing March stocks for meat, poultry and dairy products. Stocks of cheese were relatively uneventful – up slightly from last month and down slightly from last year. Butter, however, showed a 6% increase from last month and a 2% increase from a year ago. Butter prices last week were $2.92 per pound wholesale and have been above $2.70 per pound for most of the year. The strong increase in butter in cold storage could potentially point to export staging. Butter exports have been down 33% across January and February of this year. However, given the strength in butter prices, it does not appear the cold storage build is related to demand weakness.

CATTLE ON FEED

Cattle on feed continued to defy the cattle cycle posting numbers again above a year ago at 11.821 million head or 1.5% above a year ago.  Placements were on the low-end of expectations at 12% below a year ago, but marketings also posted a smaller number, down 14% from last year. 

Poultry Market Update

Poultry prices have shown a strong upward trend since the start of the year signaling that demand is holding strong. Breast meat prices started the year at $1.07 per pound and were $1.74 per pound last week, up 63%. Wing prices have increased 40% since the start of the year, rising from $1.64 to $2.30 per pound last week. The price for leg quarters has also been on an upward trend since the start of the year, rising 32% to last week’s price of $0.72 per pound. The strong chicken prices are expected to support profitability in the chicken sector in 2024.