Market Updates for September 16, 2022

Section Type

Dairy | Eggs

Large - Up

Medium - Up

Small - Up

 

 

Retail demand good to very good. Supplies short. Market firm.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dairy | Butter

Butter- Up

 

Tight Cream is slowing butter production in some markets across the county, as ice cream makers continue to pull strong to meet demands; butter sales are relatively stable but pricing remains elevated at this time.

 

Dairy | Cheese

Barrel - Up

Block - Up

The Block and Barrel Markets have shown some bearish moves these past weeks.  Supply is currently plentiful and demand is not overcoming supply at this time.  Speculators feel this is due to the rise in inflation pressuring consumers wallets and minimizing sales.

 

 

Grocery & Bakery | Frying Oil

This week's USDA WASDE reported a reduced soybean yield, taking the '22-23 carryout down to 200 million bushels. 200 million bushes doesn't leave much breathing room. This level is much lower than anticipated and took soybean and bi-products higher. There is still time for yields to improve to meet the trade expectations but a firmer market tone has been set for the remainder of the month until further updates. Frying oil prices are likely to move higher unless yields come in stronger once the full harvest takes place.

Grocery & Bakery | Sugar

Beet sugar harvest has begun and to date, the crop is looking good with ideal weather conditions allowing us to hopefully not see any supply gaps in the coming year. Inventory is still tight though with cane also very scarce on the market supporting continued high pricing as we move into the new crop year in October. Prices will likely remain elevated at least until supply shows stable and demand is settled as there is some uncertainty in consumption in the coming year with a possible recession looming or started in some expert opinions. 

Grocery & Bakery | Flour

Pricing continues to be a bit of a roller coaster from day to day and week to week within approximately a $0.50/bag range with more upside risk in pricing due to threats from Russia to end the humanitarian corridor in the black sea as well as the threat of a rail strike in the US which could pose issues for millers transporting wheat to process. Spring wheat remains priced similar to last year at this time while winter wheat, due to a poor crop, is about 35% higher than this time last year.