Dave’s Weekly Market Update

Good afternoon!

Eggs:
The egg market rose again but people seem to think we are at the top. The following is a report I just got and want to share with all of you.

Weekly Urner Barry quotes for next week are up again. Strong exports, efforts to get product back into storm-damaged areas, and building inventories for Easter continue driving the market. The come-back in foodservice also taking products as more restaurants open up. We do not expect any more price increases from Urner Barry before Easter.

The following shows national egg inventory from Monday of the current week. The Shell Eggs category has the most direct impact on us, but breaking stock is also an important number to watch. Its an indicator of products going into the further processing and foodservice sectors.

 

Monday’s National Egg Inventory by USDA

   
   

vs Prior Week

vs Prior Year

   
 

Shell Eggs

3.3%

-7.1%

   
 

Breaking Stock Eggs

-9.3%

-15.0%

   
 

Combined

0.9%

-8.5%



Butter:
The market slowed down this week with only 13 loads trading. My feelings are that the market will remain around this level for a while. Retail orders for Easter are going into the pipeline and foodservice volume is picking up as states relax their COVID restrictions. Futures do point to about a dime higher in the coming months.

Cheese:
Both Block and Barrel have been aggressive. By looking at the fact that only 2 loads moved so far this week it tells me that people are holding out for higher prices. The Farms to Families Food Box Program is running strong and another stimulus package just passed. This and foodservice demand must be the root cause.

We are still running a promotion on AAK 60/40 butter blend at $1.49 for good volume.


We all hope you have a great weekend as we spring forward with the clocks and Spring is rapidly approaching.

Thank you all for your continued business!