Meat and Bone Meal Closes the Week at Lower Prices

Meat and Bone Meal Closes the Week at Lower Prices

Ruminant meat and bone meal prices traded lower on the top end of the range today. Strong supply continues to pressure the market lower. Pure beef, packer material has been reported in the $180 – 200 range to close out the week. Fundamentals suggest that prices are near a bottom with protein well valued versus soybean meal and seasonality indicating higher prices. However, fundamentals have been scrambled by COVID-19 and an atypical slaughter pattern is likely to keep prices lower than history would suggest. A resurgence in infections in some states adds risk for supply disruptions, however, and buyers may be incentivized to rebuild or build pipelines of material ahead of any issues, especially while prices are low.

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