Wednesday's WASDE report shared exciting news for the cattle and beef markets. Production for 2023 was increased by 170 million pounds, which largely stems from more aggressive beef cow slaughter than originally assumed. The first three quarters of 2023 saw production increases to contribute to the 170 million additional pounds, but the fourth quarter remained unchanged. Quarterly price projections showed a bullish outlook for steer prices as all four quarters of 2023 saw a price increase. Compared to last month the first quarter was raided by $3.00 to average $161.00, the second quarter was raised by $4.00 to average $163.00, the third quarter was raised by $2.00 to average $159.00 and the fourth quarter was raised by $2.00 to average $164.00. Beef imports remained unchanged at 3,425 million pounds, and exports remained unchanged at 3,090 million pounds.
The WASDE report shared disappointing news for the hog and pork markets. Pork production was lowered from a month ago as higher than previously expected slaughter speeds in the first quarter were more than offset by lighter first half of 2023 carcass weights. Pork production in 2023 fell by 25 million pounds. In terms of quarterly price projections, the market received mixed news as both the first and second quarter of 2023 saw price reductions, but the third and fourth quarter of the year remained unchanged. Barrows and gilts in the first quarter were reduced by $2.00 to average $56.00, prices in the second quarter were reduced by a $1.00 to average $70.00, and both the third and fourth quarter remained unchanged at $73.00 and $64.00. Pork imports remained unchanged at 1,005 million pounds and exports also remained unchanged at 6,350 million pounds.
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