Poultry Market Report – June 2016

poultryFor the week ending June 4th, chicken output was down 14.1% from the previous week. Poor profitability is behind the recent downturn in chick placements for the broiler supply. The six week moving average for chick placements is tracking .7% below 2015. The USDA is forecasting chicken output this summer to be just 1% better than the previous year. This could be supportive of the chicken markets including wings. Typically, the ARA Chicken Wing Index rises 17% for the June through October time period. The USDA is forecasting fourth quarter 2016 chicken output to be 3.4% bigger than the prior year. If realized, chicken wing prices are unlikely to test the highs made earlier this year. Breast prices may near $1 a pound this fall.

 

Product Description

Market Trend

Supplies

Price vs. Last Year

Whole Birds 2.5-3 lb-GA)

Decreasing

Good

Lower

Wings (whole)

Steady

Good

Lower

Wings (jumbo, cut)

Increasing

Good

Lower

Wing Index (ARA)

Decreasing

Good

Lower

Breast, Bone In

Steady

Good

Lower

Breast, Boneless Skinless

Increasing

Good

Lower

Breast Boneless Index (ARA)

Increasing

Good

Lower

Tenderloin (random)

Steady

Good

Lower

Tenderloin (sized)

Increasing

Good

Lower

Legs (whole)

Steady

Good

Lower

Legs Quarters

Increasing

Good

Lower

Leg Quarters Index (ARA)

Increasing

Good

Higher

Thighs, Bone In

Increasing

Good

Lower

Thighs, Boneless

Increasing

Good

Lower