Stale Snack-Bar Sales Hurt General Mills -- 3rd Update
General Mills Inc. extended its sales slump after encountering poor demand for brands including Yoplait yogurt and Nature Valley granola bars.
The purveyor of classic packaged foods including Cheerios, Hamburger Helper and Betty Crocker cake mix has struggled to revive growth amid tougher competition from newer, trendier products and less costly store brands.
The company reported a quarterly profit of $520.6 million, compared with $392.3 million a year earlier. After adjustments, General Mills reported a profit of 79 cents a share, topping the 77 cents a share that analysts predicted.
Popeyes Spicy Chicken Demand Blew Out Supply -- Market Talk
11:53 ET - Popeyes Louisiana Kitchen bought a three-month supply of its spicy chicken sandwich this summer and went through it in 14 days, executives with parent company Restaurants Brands say. The company had benchmarked the sandwich this summer against other big product launches and bought based on that, but still ran out, they say. It took two years to find the right bun, chicken, mayo and pickles for the sandwich. The company wants customers to download an app to find out when the sandwich will be back, one of their increasingly tactical marketing strategies. (firstname.lastname@example.org; @heatherhaddon)
STORIES OF INTEREST
Iowa Ethanol Plant the Latest to Halt Production -- Market Talk
12:31 ET - Another ethanol plant calls it quits, at least for now, blaming Trump-administration energy policies. Siouxland Energy Cooperative, based in top US corn state Iowa, this week moved to idle its Sioux Center plant, blaming exemptions granted by the EPA to oil refineries, which Siouxland board president Kelly Nieuwenhuis said reduced ethanol demand. Siouxland's not among the biggest US ethanol plants, but it's the latest in a string of closures over the past year that the ethanol industry says could cost Farm Belt votes for President Trump next year. (email@example.com; @jacobbunge)
Livestock Finishes Higher as Disease Tension Rises in Asia -- Market Talk
15:42 ET - Both hog futures and cattle futures end higher on the CME with October hogs up 1.3% to 62.925 cents per pound and December cattle rising 0.8% to $1.0615 per pound. For hogs, the main driver for the uptick is a second case of African swine fever being reported in South Korea-- along with unfounded cases rumored in Thailand. The increased flow of swine fever news seems to have sparked some interest in hogs again among traders, who are hoping that tomorrow's export sales report will show a large Chinese purchase of US pork exports. (firstname.lastname@example.org; @kirkmaltais)
Estimated U.S. Pork Packer Margin Index - Sep 18
All figures are on a per-head basis.
Date Standard Margin Estimated margin
Operating Index at vertically -
Sep 18 +$ 41.99 +$ 14.23
Sep 17 +$ 42.63 +$ 15.69
Sep 16 +$ 41.62 +$ 15.47
* 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 106.3
(Percent of Year-Ago) Select 98.2
USDA Boxed Beef, Pork Reports
Wholesale choice-grade beef prices Wednesday fell $1.53 per hundred pounds, to $218.24, according to the USDA. Select-grade prices fell $1.94 per hundred pounds, to $191.97. The total load count was 172. Wholesale pork prices fell 68 cents, to $67.02 a hundred pounds, based on Omaha, Neb., price quotes.