Inside Pigs
DCA Stock price 2.0 falls in nervous market
Substantial price reductions on the German pig market have further increased pressure on the Dutch market and elsewhere in Europe. The DCA Stock Price 2.0 must therefore switch back again.
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The reduction in the German pig price (VEZG quotation) has increased the pressure. On Friday, September 7, the Internet Exchange even surpassed that, dropping €0,07 to €1,48 per kilo. Only a limited portion of the lots offered (5 out of 13) were traded.
Less slaughter?
In Germany there is an increasing supply, which makes the pigs more difficult to place. The fact that some slaughterhouses will have limited slaughter early next week does not help. In addition, German pig farmers would like to deliver in advance due to price reductions. The result is that there is now sometimes a 'mismatch' between supply and demand.
There were sufficient pigs in the Netherlands in recent weeks and there are more. At the same time, the pigs are not overly heavy; this makes bringing pigs forward less easy. Some traders say they get the offer reasonably well placed. At the same time, Dutch slaughterhouses say they will slaughter less and some people experience this as such.
The quotations are also falling in Belgium and slaughterhouses are expressing their sentiments. After a long stable period, the Spanish pig price has also fallen. Now that the temperature is dropping slightly, growth is increasing. The tourist season has come to an end.
Transition period on the meat market
In terms of meat sales, there is a 'transition period' between summer and autumn, which means that there is less demand for ribs and bellies. At the same time, there is reasonably good sales of hams (to Italy). The shifting demand is (in their own words) a challenge for slaughterhouses. Meat prices have to adjust here and there, but in general the changes are not too bad. It is claimed that the margins are poor or negative and that explains the mood.
Opinions about the change for the DCA Stock Exchange Price 2.0 vary widely, as shown by the statements at DCA-Markets. The price for slaughtered pigs drops by €0,07 to €1,36 per kilo. The price for live pigs drops by €0,06 and amounts to €1,09 per kilo.
| DCA Scholarship 2.0 (week 37) | Price range | Number of assignments* | Average |
| Gender €1,36 (-0,07) per kilo | € 1,35 - € 1,38 | 15 (20) | €1,363 |
| Live €1,09 (-0,06) per kilo | € 1,08 - € 1,11 | 11 (14) | €1,095 |
| * in brackets actual number of statements for averaging Explanation of DCA Markets: It doesn't look good for the pig price for next week either. When compiling the DCA Stock Exchange Price 2.0 (week 36), it became clear that traders do not agree with each other. The assignments varied from unchanged to minus €0,08, which resulted in a large number of assignments not being included for the averaging (11 out of 21). Assignments that fall by the wayside will not be included in the overview. In order to have weekly insight into how many assignments have been submitted, this will be reported from Friday, September 7. This assignment will be placed in brackets (after the number of assignments). There are various assignments for week 37, although the spread is slightly smaller. Since the top of the quotes also means a reduction, you can conclude that trading is now more convincing that a further reduction in the DCA Stock Price 2.0 cannot be avoided. With the Internet stock exchange (minus €0,07) clearly visible, it is clear that Germany will make another correction in the coming week. Dutch slaughterhouses are also hinting at a reduction in the coming week, which in week 36 ranged from minus €0,05 to minus €0,06. The DCA Exchange Price 2.0 will have to correct and decrease before week 37. The correction will amount to €0,04 and the reduction to €0,03, bringing the total minus for week 37 to €0,07. |
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