FEEDSTUFFS PRECISION PORK Market Report - May 29

It's been a busy few days since the last Feedstuffs Precision
Pork podcast, starting with the gateway holiday to summer last
weekend that highlighted a mixture of reopening of parks,
communities and lakes across the country, waving American flags,
World War II flyovers and a chance at history with the Falcon
Nine launch that ended up being canceled due to bad weather.
Also, throughout the week, China caught the headlines with an
early week purchase of soybeans and a midweek purchase of U.S.
corn, but was the move by China mostly PR motivated? Dave Bauer,
market analyst for Provimi, gives his thoughts.


The events in Hong Kong this week and fear of mounting tensions
between the U.S. and China continued to create doubt and
volatility in U.S. price trends. Although there was some really
positive news this week, there have been challenges as well,
creating larger problems in the way of downside pressures on both
futures and domestic cash markets. We take a look at what that
may mean.

On the hog side, even with chain speeds ramping up, the growing
backlog of hogs will take months to work through and cash and
futures trends are reflecting this. The measure of profitability,
or the lack of, only comes if you can get hogs slaughtered. Yes,
the daily harvest is growing but the range in returns for
producers is varied depending on plant and the market those hogs
are being priced on. What should we be thinking about for next
week? 


These are uncertain times and it will pay dividends to be
well-prepared. If you have questions on this week’s recap or want
to discuss something not covered, feel free to ASK DAVE at
David_Bauer@cargill.com. Plan today for tomorrow’s success.


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platform or find it on www.Feedstuffs.com and
www.NationalHogFarmer.com