Written Commentary
MORNING LIVESTOCK OUTLOOK
Wednesday, even with the light slaughter for the week, the pork carcass was up just 4 cents. Daily pork movement is slowing. The average movement including trimmings for 5 days is 294.6 loads. Friday, exports will be out and traders are expecting another good week. The Mexican Peso remains high and unless Brazil can offer cheaper pork, US pork exports should remain strong to Mexico.
Hungry little pigs in pigsty.
One problem ahead may be more cattle and beef available in Brazil. Brazil, according to the USDA, is expected to have close to 1% more cattle and increase exports by 6.75% in 2023. US beef exports have been good so far but could fall off if Brazil starts offering more beef and cheaper beef especially with the increasing number now being fed in feedlots. Australia is going to be offering more beef in 2023. U.S. cattle numbers are dropping as major global competition isn’t.
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