US: Pork quotes on the CME exchange fall due to the growth of production in China

Published 2023년 1월 23일

Tridge summary

From January 13 to January 20, 2023, the Chicago Mercantile Exchange's bovine meat and pork futures market experienced a decline in quotations for live weight cattle, fattening cattle, and pork. The fall was not consistent throughout the week but ranged from 0.70% to 1.83%. Meanwhile, China's pork production surged by 4.6% in 2022, reaching 55.41 million tons, the highest since 2014, despite earlier predictions of a decline. This oversupply of pork in the Chinese market is anticipated to negatively impact American pork prices until a new growth point is found. The dynamics of the CME exchange over the past week, along with previous periods, highlight these trends.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

From Jan. 13 to Jan. 20, the bovine meat and pork futures market on the Chicago Mercantile Exchange moved in the same direction. Although during the week the quotations of pork and cattle meat were not stable, but by the end of the week the quotations of cattle meat in live weight, fattening and pork fell, losing from 0.70% to 1.83%, KazakhZerno.kz writes. At the end of 2022, pork production in China increased by 4.6% compared to the data for 2021, contrary to forecasts for its decline. In total, Chinese pig farms produced 55.41 million tons of pork (this is the highest figure from 56.71 million tons, which was recorded in 2014). A year ago, they produced 52.96 million tons. An increase in pork production in China after outbreaks of ASF in pigs, the death of almost the entire national herd will push quotes for American pork down until they find a new foothold for growth. From January 13 to January 20, live weight quotations for cattle decreased from $1.5773 to $1.5663 per pound, ...

Source: Kazakh-zerno