| What
happened this week:
It
was one of those weeks with mixed and
quickly changing feelings. At the
beginning, there was great interest from
China and the willingness of customers
there to replenish their stocks at the
price level that has now been reached.
It gave the impression that the general
feeling there is that the market has
reached a certain bottom for the time
being and that the general easing of
tension with regard to energy supply and
political influence has increased. We
all know that Chinese buyers react very
sensitively to the respective local
moods in the economy and, above all,
politics. What was difficult, however,
was
the issue of pricing. Most buyers could
not yet rid themselves of the
conviction that their bids and price
ideas are accepted with enthusiasm. As
in
previous weeks, the price differences
for female goods were limited, for male
goods not. If you wanted to sell male
goods, you had to grudgingly accept the
price levels derived from the prices in
America. At the moment, these do not
even match the levels that are supposed
to be paid at the slaughterhouses
today. Be that as it may, if one wanted
to make sales it was possible. The
situation then began to change again
towards the end of the week. The |
rapidly
rising infection figures in Europe
weighed on the
mood with each passing day. Lockdowns no
longer seem completely improbable and
if the negative trend is not broken in
the short term, it is to be expected
that economic and social activity will
once again have to be significantly
reduced in the run-up to Christmas. The
necessary quarantine measures alone,
which are associated with infections,
are already hampering normal life
considerably because great uncertainty
is once again spreading. The weak dollar
supports calculations in overseas
exports, but also demonstrates the
dwindling
confidence in the situation in Europe.
The situation in the automobile industry
remains opaque. One can get the
impression that the high profits of the
first
half of the year are now used to
accommodate as many problems and costs
as
possible, i.e. at the same time
production interruptions this year, in
order
not to unnecessarily burden next year's
results in the first quarter. We would
not be surprised if production returns
to normal at the beginning of the new
year. At the moment, however, the
situation is still very unpleasant. This
week's demand, as already mentioned, was
very price-related. People were
looking
for bad |
assortments
and even renderer material - the
main thing - it was cheap. In the
case of cows and cattle, the
price expectations were
relatively far apart and thus only
the best bids were really
interesting to
process. For all other items, the
only decision to be made was whether
to part
with the goods or wait for better
times. Overall, the quantities sold
were
satisfactory and the prices will
show in the coming weeks which
decision was
the right one in the end.
The
Kill: The
kill remains quite stable at the
usual
higher level of November. It might
even be possible to increase
production, but
there are considerable bottlenecks
in cutting and further processing,
so that a
further increase is not possible at
the moment. We expect volumes to
remain steady
high in the coming weeks, unless
restaurants close again before
Christmas.
What
do we expect:
Prices are
adjusting more and more to the
realities. Without the
uncertainties due to the pandemic,
we would say that
probably no major changes would be
expected until the end of the
year. However,
due to the increased infection
figures, both on the supply and
demand side,
very quick and short-term
surprises are possible, which
would then of course be
reflected accordingly in the
market. Both positively or
negatively.
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