How the Election Could Play Out on Cattle Pastures -- Market Talk
09:34 ET - A change of occupant in the White House could ripple down to occupants of US cattle ranches. Jayson Lusk, an agricultural economist at Purdue University, says on the AgriTalk podcast that a Biden-Harris administration could make new appointments to federal committees that make US dietary guidelines, and notes the widening gap between how liberals and conservatives look at food issues like red meat consumption. Vice presidential candidate Sen. Kamala Harris during her presidential run said that she would support changing US dietary guidelines to support reduced red meat consumption, though she emphasized her personal fondness for cheeseburgers. (email@example.com; @jacobbunge)
Sell Beyond Meat Stock, Analyst Says. A Big Rally Has Made It Pricey. -- Barrons.com
Beyond Meat shares were hurt by a downgrade on Tuesday from Bernstein, which argues that it is time to sell the alternative-meat producer after the stock's big run.
Analyst Alexia Howard cut her rating on Beyond Meat (ticker: BYND) to Underperform from Market Perform, while maintaining her $136 price target. While she likes the long-term outlook for the company, her issue is the same as many other bears: valuation.
STORIES OF INTEREST
Just Eat Takeaway to Serve Up Higher 3Q Orders -- Market Talk
1519 GMT - Online takeaway ordering group Just Eat Takeaway.com is likely to report higher third-quarter orders than a year ago, but a slight slowdown versus the second quarter, in an update Wednesday Oct. 14. Numis Securities forecasts a 39% year-on-year rise in orders, down modestly against the 43% increase in 2Q. While leisure spending and numbers of people eating out have begun to recover after lockdowns, they remain below normal levels and industry data and commentary support a view that 2Q strength has continued into 3Q, Numis says. "Our slight slowdown across most of JET's divisions reflects a recovery at logistics peers in Europe following supply constraints in the early period of lockdown," says analyst Georgios Pilakoutas. (firstname.lastname@example.org)
European Food, Home and Personal Care Sector Is 'Better Than a Bond' -- Market Talk
1039 GMT - Reliable income streams, real growth and value creation make the European food, home and personal care sector a quality safe haven, even though the sector's organic revenue growth halved in the last decade amid changing trends, Bernstein says. The sector enjoys robust cash income streams thanks to a high return on invested capital, Bernstein says. "That income is hedged against global consumer price index and shares the benefits of global real GDP growth. This makes the sector better than a bond," Bernstein says. Bernstein initiates L'Oreal, Nestle and Beiersdorf at outperform, and Danone at underperform. (email@example.com; @MauroOrru94)
Livestock Futures Finish Tuesday Mixed -- Market Talk
15:07 ET - Livestock futures trading on the CME finish the day mixed--with most-active live cattle futures closing 0.4% higher at $1.11225 per pound, while lean hog futures finish down 0.7% 66.15 cents per pound. "Hog weights have been trending higher in recent weeks as cooler weather and fresh corn helps hogs convert better," says Steiner Consulting Group. "While this is normal for this time of year, the issue will likely get more attention given all the talk of hogs that may or may not have gotten backed up during the summer." Unseasonal demand for meat among consumers has been a driver in recent cutout prices for both beef and pork recently, but the trend appears to be easing. (firstname.lastname@example.org; @kirkmaltais)
Estimated U.S. Pork Packer Margin Index - Oct 13
Source: USDA, based on Wall Street Journal calculations
All figures are on a per-head basis.
Date Standard Margin Estimated margin
Operating Index at vertically -
Oct 13 +$ 58.05 +$ 76.61
Oct 12 +$ 55.94 +$ 72.84
Oct 9 +$ 55.56 +$ 74.46
* 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 97.8
(Percent of Year-Ago) Select 105.7
USDA Boxed Beef, Pork Reports
Wholesale choice-grade beef prices Tuesday fell $2.18 per hundred pounds, to $212.44, according to the USDA. Select-grade prices fell 26 cents per hundred pounds, to $200.08. The total load count was 157. Wholesale pork prices rose $1.75, to $94.70 a hundred pounds, based on Omaha, Neb., price quotes.
(END) Dow Jones Newswires