Bearish meat demand implications in Cold Storage Report

Beef stocks declined less than normal in April, while frozen pork inventories climbed more than average. Total red meat and poultry stocks rose around 16% from last year.

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USDA’s Cold Storage Report showed beef stocks at the end of April were a record for the month at 531.7 million pounds. While that was down 4.1 million lbs. (0.8%) from March, the five-year average was a 15.5-million-lb. decline during the month. Frozen beef inventories increased 82.9 million lbs. (18.5%) from year-ago and stood 74.1 million lbs. (16.2%) above the five-year average.

Pork stocks at 530.2 million lbs. rose 44.3 million lbs. (9.1%) from March, far greater than the five-year average of a 16.4-milllion-lb. increase during the month. Pork stocks rose 73.3 million lbs. (16.0%) from last year but were still 52.7 million lbs. (9.0%) under the five-year average.

Total poultry stocks at 1.104 billion lbs. increased 15.6 million lbs. (1.4%) versus both March and year-ago. Chicken breast meat inventories at 178.8 million lbs. rose 11.5 million lbs. (6.9%) from March but were still 20.4 million lbs. (10.2%) under year-ago levels.