Wholesale Meat Prices Mixed as PPI Rises on Energy
August PPI rose 0.4% driven by energy costs, while beef and turkey prices continued their downward trend.
The Producer Price Index rose 0.4% in August. This marked a reversal after two months of stability. Energy costs were the primary driver of the increase. The final demand energy component climbed 4.2%. This surge accounted for most of the broad-based rise. The 12-month PPI increase reached 5.4%. This figure exceeds the 4.8% recorded in July.
Finished wholesale food prices rose 0.1% in August. This ended a two-month decline. Food prices are currently down slightly since May. They remain just 0.1% higher than a year ago. The data reflects a mixed market for specific meat products. Some categories saw significant price drops. Others experienced modest gains or further declines.
Finished Meat Prices Show Divergence
Beef and veal prices dropped 0.8% in August. This was the third decline in five months. Over the last 12 months, these prices are 3.1% higher. Pork prices rose 0.1% during the period. However, wholesale pork is down 13.9% from a year ago. Most of that decline occurred in the last four months.
Processed young chicken prices fell 1.5%. This marks the third drop in four months. The category is down 12.5% over the last year. Processed turkey prices fell 6.7% in August. The drop across the last three months exceeded 25%. Turkey prices are down 23.6% compared to August 2025.
Intermediate Goods Continue Sliding
Intermediate demand prices for processed foods slipped 0.1%. This was the second consecutive monthly decline. Red meat prices in this category fell 1%. They are down more than 5% since spring. Processed, unfinished red meat prices are 2.6% lower than in August 2025.
Processed, unfinished poultry prices dropped 1.9% in August. This is the third decline in four months. Prices have fallen nearly 6% since May. The category is down 12.5% from a year ago. These figures indicate persistent pressure on intermediate meat costs.
Slaughter Animal Prices Mixed
Unprocessed foodstuffs and feedstuffs prices rose 0.7% in August. They remain 1.5% lower compared to July 2025. Slaughter cattle prices fell 6.4% in August. This was the third consecutive monthly slide. Cattle prices are down 3.9% from a year ago.
Slaughter hog prices rose 1.9% last month. This halted a three-month decline. Hogs remain 14.6% lower over the last 12 months. The drop was booked almost entirely during May through July. Slaughter chicken prices jumped 10% in August. They are down 0.7% compared to a year ago.
Slaughter turkey prices rose 3.5% last month. They are 8.9% higher than a year ago. The Bureau of Labor Statistics released this data on Thursday. GN markets/inflation (en-US) reported the figures. All monthly data is seasonally adjusted. The 12-month figures are unadjusted.
