Source:  Rita Jane Gabbett, MEATINGPLACE.COM, 3/1/10

In USDA's January Chicken and Eggs report released on Friday the agency said the number of broiler-type pullets (young breeding hens) hatched rose by 1.1 percent year-on-year, the fourth year-on-year increase in five months.

In a note to investors, J.P.Morgan analyst Ken Goldman said he believes the 7.22 million broiler-type pullet chicks for future domestic hatchery supply flocks leading breeders placed during January were the most in any January in U.S. history.

On the other hand, total layer numbers remained small. The total number of broiler-type layers in inventory rose by only 0.3 percent he noted, with the 54 million pullets in inventory as of January, 4.9 percent below the January average between 2004 and 2008.

Goldman called the report neutral for companies like Tyson Foods and Sanderson Farms, but added, "We do not overlook the hatching figure; it is slightly concerning that we saw the highest number of pullets ever born during January. Still, the total number of layers (pullets and older hens) remains so low that production cannot help but stay reduced for almost all of 2010."