Mildly negative meat stocks data

A big part of the larger-than-normal increase in beef stocks was due to a downward revision for the August figure.

cold storage.PNG
cold storage.PNG
(Pro Farmer)

USDA’s Cold Storage Report showed beef stocks climbed more than average during September, while pork stocks increased slightly versus the normal small decline. The data has mildly negative demand implications.

Beef stocks totaled 413.8 million lbs. at the end of September, up 25.2 million lbs., whereas the five-year average was a 15.1-million-lb. increase for the month. The August beef stocks figure was revised down about 7 million lbs. from last month’s report. Beef inventories declined 7.1 million lbs. (1.7%) from year-ago and were 49.9 million lbs. (10.8%) below the five-year average.

Pork stocks increased 4.9 million lbs. during September to 460.1 million lbs., whereas the five-year average was a nearly 1-million-lb. decline during the month. Pork stocks declined 1.5 million lbs. (0.3%) from last year and were 46.5 million lbs. (10.1%) below the five-year average.