Arroba came down in an elevator and will go up in a rocket, check it out!

Photo: Gilson Paulo Costa.

A change in the scenario, the reversal of the livestock cycle and the shortening of slaughter scales, join the record price paid for exported beef to, now, guarantee that the prices of the arroba will skyrocket!

After reaching the lowest price level during the week, the values ​​of the arroba in the physical market of fat ox recorded pricespredominantly tallerthis Friday the 17th. The rancher is already beginning to observe a greater demand for the animal finished, mainly in the squares of São Paulo that, at this moment, have tight slaughter scales.

despite the market assessment have pointed to a flow of trades occurring more slowly than usual, even for a weekend, the Thursday holiday, brought an improvement in domestic consumption and, linked to these factors, the off-season for cattle arrived to bring new appreciations in the prices paid for cattle.

In an environment where Slaughter schedules follow with a Brazil average of 8 working daysindustries are already feeling a greater shortage in the supply of animals for slaughter, in a general way. “The delimited conditions point to the intensification of the upward movement in the short term”, said Iglesias from Agência Safras.

At the end of the week, with meatpackers increasing demand, prices rose, pointed out Scot Consultoria. The price of fattened cattle rose by R$3.00/@, that of fat cows by R$1.00/@ and that of fat heifers by R$2.00/@. The reference for live cattle is R$303.00/@, for fat cows R$275.00/@ and for fat heifers R$296.00/@, gross and forward prices.

cattle destined for the Chinese market are being negotiated for R$315.00/@. Prices above this reference were reported, but with little business, which already symbolizes an improvement in prices. The rancher from Icém, in the interior of São Paulo, informed a negotiation of R$ 315.00/@, with payment in cash and slaughter for June 21, Agrobrazil pointed out.

After opening the week with a value of R$ 311.05/@, the Cepea Boi Gordo Indicator closed the week at R$ 320.50/@. The appreciation of R$ 9.45/@ shows that the market has already left the floor and is now looking again for the price ceiling for the period. According to some analysts, we should see prices reach up to R$ 335.00/@, mainly for animals that meet the export standard.

“The delimited conditions point to the intensification of the bullish movement in the short term”

Safras Agency Churches

Restriction on supply and drop in slaughter scales

According to the report by Agrifattothe national average of slaughter schedules dropped to 8 working days, 1 day less in the weekly comparison, which is the lowest level since the third week of Apr/22.

  • In São Paulo, the industries closed Friday with 9 working days scheduled
  • In Pará, the slaughter schedules are on average of 13 working days, 5 days of decrease in the weekly comparison.
  • The industries from Minas Gerais, Mato Grosso do Sul and Rondônia ended the week with stopovers close to 8 working days
  • In Goiás, Mato Grosso and Tocantins, slaughter schedules are close to 6 working days.

Exports as fuel for high

The current monetary policy being adopted by the Fed, which readjusted the basic interest rate by 0.75% in last Wednesday’s decision, causes a process of devaluation of the currencies of emerging countries, including the real.

Foreign sales of beef in natura totaled 153.196 thousand tons in May, a small decrease of 2.74% compared to the previous month, but a significant increase of 20.83% compared to May/21, according to Secex data.

The price paid for Brazilian beef renewed the record in Secex’s historical series, approaching US$ 7,000 per ton. In national currency, with the high exchange rate, the amount paid for the protein was also the highest in the historical series, reaching R$ 34.3 thousand/ton.

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“Basically, Brazilian exports will be even more competitive internationally. In addition, exporting slaughterhouses will have greater profitability during the conversion process. Ie, there will be greater financial capacity to pay more for the arroba of the fattened ox, especially with regard to standard Chinese animals”highlighted Iglesias.

Giro do Boi Gordo, according to Agência Safras

  • With that, in São Paulo (SP) the reference for the arroba do boi was R$ 316 in the term modality.
  • In Dourados (MS), the price was indicated at R$ 299.
  • In addition, in Cuiabá (MT) the arroba of the ox was R$ 280.
  • For Uberaba (MG) prices at R$ 300;
  • In Goiânia (GO), at R$ 305 per arroba do boi.

Wholesale

The wholesale market returned to present firm prices. The short term trend points to less room for readjustments. Since replenishment usually flows more slowly between wholesale and retail during the second half of the month.

In addition, the consumption pattern remains focused on the broad consumption of proteins that cause less impact on average income, precisely the case of chicken and eggs. The forequarter of the ox is still priced at R$ 16.60 per kilo. The rear quarter remains priced at R$22.35 per kilo. The needle tip is still quoted at R$ 16.50 per kilo.

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About Yadunandan Singh

Born in 1992, Yadunandan approaches the world of video games thanks to two sacred monsters like Diablo and above all Sonic, strictly in the Sega Saturn version. Ranging between consoles and PCs, he is particularly fond of platform titles and RPGs, not disdaining all other genres and moving in the constant search for the perfect balance between narration and interactivity.

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