December 31, 2007

US red meat production takes a breather during holiday week

US total red meat production under Federal inspection last week ending December 29, 2007 was down 27.2 percent from the week before and 5 percent down from a year ago, according to the USDA.

However, cumulative meat production for the year to date was 2.4 percent higher compared to the previous year.

Meanwhile, trading was slow last week due to light demand. At the same time,

reduced slaughter reduced inventory position for packers. 

End meats and grinds continued to trend higher, while rib and loins traded weak to lower, particularly in the Choice rib complex. 

Forward business was minimal except for Choice flat/eye heel-out rounds

The holiday week produced the usual wide price ranges due to logistical problems.