Cold Storage neutral for beef, lightly positive for pork

Monthly Cold Storage reported 442.8 million lbs. of beef in the nation's freezers at the end of February. This indicated a drawdown from the prior month of -29 million lbs. That was over the -13 five year average change for the month.

Considering packers reduced slaughter levels in February, reducing beef output, it is reasonable to assume a larger than normal drawdown. This report is neutral to beef pricing.

Pork stocks at the end of February were 456.5 million lbs. That marked a drawdown from the prior month of -7 million. Drawdowns in February are a rare occurrence. The last one was in 2007. The five year average change is a 30 million increase.

This would be lightly positive for pork prices.

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