Publicly traded pizza restaurant stocks last week followed trends that mirrored how each brand has trended over the last year, with Domino's and Rave Restaurant Group falling in value, while Papa John's and Pizza Hut parent, Yum Brands, both improved stockholder value. 

Yum Brands took home the recognition for most improved last week when it posted gains of $3.71 on the week to close Friday at $105.40, part of that company's overall upward trend over the past 12 months and perhaps indicating overall investor approval of Yum's acquisition of fast casual The Habit Burger Grill two weeks ago. 

Also in the winner's circle last week was Louisville-based Papa John's International, Inc., which posted a 23-cent gain to end Friday at $65.06.

But the losers last week were led off by Ann Arbor-based Domino's Pizza, Inc., which fell $2.62 in value over the five days of trading to end Friday at the close at $286.47, echoing that stock's slide in value over the last 12 months. 

At Pizza Inn and Pie Five parent, Rave Restaurant Group, Inc., traders also pulled back last week, much as they have the last 12 months, to leave that stock Friday at $1.61, down 7 cents from the previous Friday's close. 

Topping the pie: cheese prices

The gap of growing concerns between the barrels and blocks prices for cheese continued on the Chicago Mercantile Exchange last week, when the average price paid for barrels fell 7 cents over the week to come in at just under $1.52. Blocks, meanwhile, trended up 5 cents last week, coming in at $1.91 on average. 

The closing CME price for barrels was $1.56, while 40-pound block closed at $1.96, according to the U.S. Department of Agriculture Marketing News Service. 

And as mentioned, anxiety is growing for cheese producers thanks to that more than 40-cent price gap between blocks and barrels at the major Chicago trading hub. U.S.D.A. contacts, in fact, are aware that this price gap is going to correct, and history indicates that correction may end up being a block price plummet. 

Milk availability for cheese producers is ample nationwide. Some Midwestern producers say cheesemaking is a seven-day-a-week process currently, while some producers in the West tell the U.S.D.A. the abundance of milk has led to shifts in barrels, which is a potential factor in the current bearishness on the barrel side of the market. 

Undoubtedly, playoff football season is helping out in the foodservice sector, particularly for mozzarella and provolone makers. Meanwhile, U.S. domestic prices for parmesan and Romano have fallen 3 cents. 

The foundation: wheat prices

Compared to last week, cash bids for wheat ranged from 31 3/4 cents lower to 10 cents higher. Kansas City U.S. No. 1 Hard Red Winter ordinary protein rail bid was 10 ½ cents lower, from $5.69 3/4-$5.79 3/4 per bushel. Kansas City U.S. No. 2 Soft Red winter rail bid was not quoted.  

St. Louis truck U.S. No. 2 Soft Red Winter terminal bid was 6 cents higher at $6.36 per bushel. Minneapolis and Duluth U.S. No. 1 Dark Northern Spring, 14.0 to 14.5 percent protein rail, was 21 3/4 to 31 3/4 cents lower, from $6.40 1/4-$6.80 1/4 per bushel. Portland U.S. Soft White wheat rail was 5 to 10 cents higher, from $6.20-$6.25 per bushel.

Powering delivery: vehicle fuel prices

Gas stocks nationally are up to 6.7 million barrels in early January, according to the American Automobile Association, which said that in combination with reduced winter demand is pushing prices at the pump downward. For instance, the U.S. Energy Information Administration said that demand hit 8.56 million barrels a day last week, which is in line with the lower demand seen last year at this time. 

Currently, a gallon of regular in the U.S. averages $2.55, down 3 cents from last week, but on par with last month at this time, according to AAA. Of note, however, is the fact that the price is 31 cents higher than it was last year at this time. 

Higher grades of fuel were also trending in a very similar direction, with mid-grade averaging $2.88 and premium at $3.15 a gallon. The price of diesel remains far more steady than that of gasoline, with the current average for diesel at $3, even with last month and just 8 cents more than what users paid last year at this time. 

But, E85 is following the same basic arc that gasoline grades have, with E85 averaging $2.29 this week, which is about 2 cents lower than a month ago, but still a good 30 cents over the $1.99 paid last year at this time. 

Powering the ovens: natural gas

Natural gas spot prices for the seven days that ended on Jan. 15 were generally mixed, with the Henry Hub spot price down from $2.08 per million British thermal units (MMBtu) to $1.98/MMBtu over that period.

At the New York Mercantile Exchange, the price of the February 2020 contract fell 2 cents to $2.12/MMBtu over that span, while the average price of the 12-month strip February 2020 through January 2021 futures contracts declined 3 cents/MMBtu to $2.29/MMBtu.

The net withdrawal from working gas totaled 109 billion cubic feet (Bcf) for the week ending Jan. 10. Working natural gas stocks total 3,039 Bcf, which is 19% more than the year-ago level and 5% more than the five-year (2015–2019) average for this week.

The natural gas plant liquids composite price at Mont Belvieu, Texas, fell by 2 cents/MMBtu, averaging $5.05/MMBtu for the week ending Jan. 15. The prices of natural gasoline, propane, and isobutane fell by 4%, 1% and 1%, respectively. The prices of ethane and butane rose by 4% and 2%, respectively.

According to Baker Hughes, for the week ending Tuesday, Jan. 7, the natural gas rig count decreased by four to 119. The number of oil-directed rigs fell by 11 to 659. The total rig count dropped by 15 and now stands at 781.

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