Supply issues on vanilla are prevalent. Madagascar produces the majority of the vanilla beans. The major issue was caused by Cyclone Enawo in March when it hit Madagascar. A total of 70 percent of the vanilla fields in the district of Antalaha have been destroyed
Market is unsettled. Total production for last week was up 1.3% compared to prior week and up 0.7% versus same time last year. Total headcount for last week was 628,000 versus 606,000 for the same week last year. Live weights for last week were up 3 lbs from prior week but down 27 lbs from the same time last year. Live prices are starting to move lower which is seasonally typical for this time of year. The Futures market continues to point to lower live prices as we move thru the summer. Demand is starting to shift as we are moving closer to the holiday. Retail demand is expected to be strong thru next week and then is expected to take a seasonal downturn after the 4th. Select grade product is still in more limited supply and allocations and shorts are expected to be common place heading thru the holiday.
Grinds- Market is mostly steady. Retail demand has been very good coming into this week and this is expected to continue heading into next week. Demand is expected to ease after the holiday.
Loins- Market is unsettled. The market has seen both ups and downs this week but expectations are for this market to move lower as we move thru the next few weeks.
Rounds- Market is steady to weaker. Inventories are good for current demand.
Chucks- Market is mostly steady.
Ribs- Market is unsettled. The overall market is weaker but Select graded product is in tight supply and shorts are to be expected.
Market is steady to firmer. Total production for last week was down 0.7% from prior week but up 1.1% compared to same time last year. Total headcount for last week was 2,179,000 as compared to 2,152,000 for the same week last year. Live weights for last week were even with prior week and up 2 lbs from same time last year. Live prices have pushed higher coming into this week due in part to supplies being tighter and packers competing for animals. Production will be reduced the week of the 4th and put additional pressure on available inventories. Current demand is very good and putting pressure on the market.
Bellies- Market is firm. Demand is very good and putting upward pressure on the market.
Hams- Market is firm. Export demand is very good combined with domestic demand for deli meats
Loins- Market is firm. Demand is very strong and retail advertising will be strong thru the holiday.
Butts- Market is firm. Demand is very good and expected to be good as we move closer to the holiday.
Ribs- Market is firm. Demand is very strong.
Movement remains mostly steady on many items with many items steady as well, for the exception of some regions dealing with transportation issues, causing higher delivered prices. WOGs and whole birds have tightened some at the end of week. Markets remain steady but we could possibly see some strengthening in the near future. Whole breasts are rated steady to full steady. Jumbo breast meat trades at current market, with small breast meat tight and short of full needs. Tenders are rated steady to full steady. Thigh meat is rated full steady and trade at higher than market in some cases. Wings trade at current market levels. Leg quarters and whole legs steady. Estimated slaughter ending week of 6/24/17 is 165.6 million head.
Overall markets are rated fair to good. Majority of trade is in parts with drums, wings, necks and tails seeing increased activity, with export demand up as well. Both fresh and frozen tom breast meat have increased demand with markets currently steady. Thigh meat is steady with fresh stronger. Whole birds are rated steady.
Gulf Shrimp- Market is mixed. Inventories on larger sized shrimp are very good as current landings are more on the larger side. This is helping to keep downward pressure on that market. The market for smaller sized shrimp is steady to firmer due to more limited inventories. Louisiana has announced that additional fisheries will be closing at the end of this week.
Black Tiger Shrimp- Market is mostly steady. Inventories overseas are becoming more limited and putting upward pressure on replacement inventories.
White Shrimp- Market is steady to weaker. Inventories are good for a light demand.
King Crab- Market is steady.
Snow Crab- Market is firm. Inventories are light for an active demand. Larger sized clusters are very limited and seeing additional upward pressure.
Warm Water Lobster Tails- Market is unsettled. Product from Brazil is expected to begin arriving into the market within the next few weeks and this is helping to keep the market in a more unsettled tone. Product of the Caribbean is holding mostly steady.
North American Lobster Tails- Market is steady to firmer. Demand on 6-7 oz tails is good and putting additional pressure on the market. The rest of the market is mostly steady.
Salmon- Market is steady to lower. The market for both Farmed and Wild salmon moved slightly lower this week.
Domestic Catfish- Market is steady.
Tilapia- Market is steady.
Swai- Market is steady.
Cod- Market is firmer. Smaller sized fillets are in tighter supply as current season fishing has seen more larger sized fish. Overall inventories are fair for a good demand.
Flounder- Market is steady but firm. Inventories are light for a good demand. Larger sized fillets remain in tight supply.
Haddock- Market is firmer. Current season product is seeing more larger sized fish and this is putting pressure on smaller sized fillets. Raw material prices continue to increase in price.
Pollock- Market is steady.
Scallops- Market is steady.
Market is unsettled. The CME Block market has seen weakening while Barrel market has seen both highs and lows this week. The New England and Mid-Atlantic regions are have seen the peak of spring flush. Rising temperatures in the West have already begun to affect milk production in California and Arizona. Schools are on summer break leading to additional milk volumes available for cheese production. Heavier production is leading to growing inventories, especially for mozzarella.
Market is unsettled. The CME Butter market saw a sharp increase last week. As this week has progressed the market saw both higher and lower levels. With cream demand for ice cream continuing production is mixed. Demand is strong and manufacturers are adjusting production accordingly.
Market is firmer. Total shell egg inventories reported only slightly above last week at .1%. Retail demand is reported as fairly good. Movement in the south meets or exceeds expectations. Food-service demand in vacation destinations remains strong.
Market soft as it took a substantial decrease mid-week. Crude oil also took a dip: Since soy oil tends to follow crude. Weather forecast is favorable with cooler temperatures expected in the growing regions. Biodiesel is still the hot topic and Washington will have to deal with allocations for this at some point in the near future. This could have a bullish effect on the soy oil market.
Market firm as dry weather in world wheat growing regions is causing global concerns and driving wheat futures prices higher. The US protein content, or lack of, is also driving record highs for winter wheat basis levels. It is predicted that we have seen the lowest flour and wheat prices this year. Even as world supplies are ample, much of it is not milling quality due to low protein.