Farms.com Home   Ag Industry News

World pork market shows little upside: Rabobank

Some improvements may come in Q2

By Diego Flammini
Assistant Editor, North American Content
Farms.com

The global pork market will remain weak through the first quarter of 2016, according to a new report from Rabobank.
 
Rabobank's Food & Agribusiness Research diviison does predict some improvement in Q2, it suggests that growth will be mostly seasonal.
 
"Sufficient supply and modest demand development mean the five-nation hog price index will bottom out in the coming months, at the lowest point since 2016," according to the Jan. 28 quarterly report.
 
The report explains that in the U.S., industry expansion should slow after near-record supply growth in 2015, while packers' margins will remain strong due to limited available capacity.
 
"Exports are expected to pick up, supported by low prices, COOL repeal and relisting of plants for export to China."

Trending Video

Will a Weak U.S. High-Pressure Ridge = Summer Grain Rally?

Video: Will a Weak U.S. High-Pressure Ridge = Summer Grain Rally?


U.S. weather remains bearish through the 2nd - 3rd week of June but the forecast for a weak hot/dry weather forecast for the U.S. Western Corn Belt for end of June/July could see a late corn summer rally.
Where are the 90 trade deals in 90 days? Stocks continue to climb the wall of worry with U.S. Q1 earnings +13% better than expected!
A head and shoulders bottom in wheat looks promising ahead of the U.S. harvest.
The Sunday night weather forecast will become more critical over the next 10-12 weeks!