LIVESTOCK HIGHLIGHTS: Top Stories of the Day
Strong Pork Export Sales for 2019 and 2020 -- Market Talk
09:07 ET - Export sales of US pork totaled 54,400 metric tons
for 2019, the USDA says--well up from the previous week. For 2020,
the USDA reports 36,400 tons of pork were sold, with 34,300 tons of
that heading to China--likely a bullish indicator for CME hog
futures today. However, for 2019, China is seen as purchasing only
5,200 tons. Japan is reported as purchasing 21,500 tons--a
higher-than-usual amount for the nation. (firstname.lastname@example.org;
Bumble Bee Files for Bankruptcy With $925 Million Offer From
Taiwan's FCF -- Update
Bumble Bee Foods LLC, one of the nation's largest canned tuna
providers, filed for bankruptcy protection Thursday with an
agreement to sell its assets to Taiwan's FCF Fishery Co. for
roughly $925 million.
San Diego-based Bumble Bee, owned by London-based private-equity
firm Lion Capital, said that a chapter 11 process will help
facilitate the sale to FCF as well as "reduce its debt burden
caused by recent and significant legal challenges."
STORIES OF INTEREST
Kroger Dials Back Overhaul as Sales Sputter
Kroger Co. is turning back to the basics of selling groceries
after trying to sell too many new products and renovate too many
stores at once.
The biggest U.S. supermarket chain is planning to refurbish
stores at a slower pace so that it can keep more stores fully
operational. Kroger laid off nearly a thousand managers and other
employees last month to cut costs. A new marketing campaign and
some operational changes are meant to put the focus back on driving
up sales of the groceries that generate about 75% of its sales.
McDonald's Sued by Chicago Workers for Increased Risk of
Violence -- Update
A group of Chicago-area McDonald's Corp. (MCD) workers sued the
fast-food chain on Thursday, accusing it of not doing enough to
protect employees against violent incidents at its restaurants.
The lawsuit alleges that McDonald's stores open overnight lack
certain safety best practices for late-night businesses. The
complaint argues the stores should have physical barriers between
workers and customers and that drive-thru windows should be
designed to prevent customers from being able to enter through the
Hogs Post Mild Recovery -- Market Talk
16:17 ET - Lean hog futures on the CME finish 1% higher for the
day, closing at 67.45 cents per pound. While it's a reversal from
yesterday's 4% drop, hogs started the day trading nearly 2.5%
higher. Backtracking came as traders grew increasingly mistrustful
of today's USDA export sales report, which showed 54,400 metric
tons of pork sold for 2019. "The problem is that these numbers are
a bit misleading when once again, a number of these sales and
shipments were late reports," says Craig VanDyke of Top Third Ag
Marketing. "So in reality these numbers could have occurred anytime
between January 1st and last week." Meanwhile, cattle futures fell
0.3%. (email@example.com; @kirkmaltais)
Estimated U.S. Pork Packer Margin Index - Nov 21
All figures are on a per-head basis.
Date Standard Margin Estimated margin
Operating Index at vertically -
Nov 21 +$ 76.69 +$ 43.14
Nov 20 +$ 88.37 +$ 54.99
Nov 19 +$ 85.42 +$ 51.59
* Based on Iowa State University's latest estimated cost of production.
A positive number indicates a processing margin above the cost of production of the animals.
This report compares the USDA's latest beef carcass composite
values as a percentage of their respective year-ago prices.
For Today Choice 109.9
(Percent of Year-Ago) Select 107.9
USDA Boxed Beef, Pork Reports
Wholesale choice-grade beef prices Thursday fell $3.35 per
hundred pounds, to $234.86, according to the USDA. Select-grade
prices fell 91 cents per hundred pounds, to $213.86. The total load
count was 127. Wholesale pork prices fell $5.51, to $80.47 a
hundred pounds, based on Omaha, Neb., price quotes.
(END) Dow Jones Newswires
November 21, 2019 17:43 ET (22:43 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.