Market Update From the West Coast Meatheads
October 12, 2018
Beef packers were unable to find much traction as far as cutout advancements were concerned. Ribs and tenderloins gained additional buying interest. End cuts trended mostly sideways. Thin meats struggled for steady. Ground beef wholesale values deviated very little throughout the week.
As seen with commodity beef programs, Angus beef values were mixed when it came to price direction. As buyers secured their fall and holiday needs, ribs continued to appreciate on the spot market. End cuts held close to steady, as the market awaited autumn features for roasts. Briskets found support over the past week of trading. The market for loins remained easy to weak. Thin meats posed a dilemma for the packer, as demand for near term was fair at best.
The recent rallies in a number of items resulted in increased availability. Push back was noted across most of the fresh pork complex outside of bellies. Loins and butts saw pressure from a recent increase in availability, while ribs ended the week mostly steady.
While most of the complex held its own in terms of value, items such as boneless breast meat were offered at deeply discounted levels for both the jumbo and medium categories. Demand, especially for medium,declined steadily throughout the week. The one shining spot in the market appeared to be the cutting stock WOG. Here, sellers were fairly confident in their negotiations, with sales taking place at full market, and, occasionally, at premium levels. Wings were mixed from player to player, however, they found stability for the time being. Tenders traded within a close range of market quotations.