TOP STORIES

USDA Beef, Pork Projections Little Changed For 2021 -- Market Talk

12:36 ET - The USDA keeps its November forecast for 2021 cattle prices unchanged from last month, at $114 per hundredweight. Production in the US is also forecast at 27,365M pounds, unchanged from October. The projection for 2021 hog price is also kept at last month's $47 per hundredweight, while pork production forecast is cut to 28,485M pounds, from 28,510M pounds last month. Cattle futures for December delivery rise 0.2% and hog futures are down 0.5%. (paulo.trevisani@wsj.com; @ptrevisani)

STORIES OF INTEREST

Tyson Foods Unveils Expansion of International Business

Tyson Foods Inc. on Tuesday said it would build new production facilities in China and Thailand and expand its plant in the Netherlands in an effort to meet rising global demand for protein.

The Springdale, Ark., meat giant said the expansion of its international operations would add more than 100,000 metric tons of fully cooked poultry capacity.

Pizza Hut to Offer Beyond Meat Plant-Based Sausage in U.S.

Yum Brands Inc.'s Pizza Hut unit Tuesday said it will offer pizzas featuring Beyond Meat Inc.'s plant-based sausage product throughout the U.S.

Pizza Hut said the partnership with Beyond Meat makes it the first national pizza chain to offer a plant-based meat pizza.

Sales Slide Pressures Beyond Meat Shares -- Market Talk

0959 ET - Beyond Meat shares plunge 21% as investors ponder what to make of the faux meat maker's surprise 3Q loss, and uncertainty over its trajectory as Covid-19 cases surge around the country. While CEO Ethan Brown Monday evening said there were reasons to be hopeful for sales in the current quarter, he resisted making any firm projections as the pandemic holds down restaurant traffic and a springtime supermarket sales boost fades. Details also remain scant around Beyond's benefits from helping produce a plant-based burger for McDonald's planned "McPlant" launch. "We are firing in the dark right now when modeling this company," JPMorgan analysts complain in a research note, as Beyond shares fall to the lowest levels since early May. (jacob.bunge@wsj.com; @jacobbunge)

FUTURES MARKETS

Hog Futures Finish Down -- Market Talk

15:03 ET - Lean hogs futures trading on the CME closed down 0.7% to 65.125 cents per pound. In the past three weeks, hog futures have shed 8.8% -- and according to the USDA, prices still have a ways to go before hitting their projected average price of 47 cents per pound. Pork prices in China contain one explanation for why the demand prospects for US pork look to stay limited. "The fall in pork and food prices in general indicates that China has managed itself well through the ASF and Covid-19 crises," says AgResource. Meanwhile, live cattle futures finished up by less than 0.1% to $1.11875 per pound. (kirk.maltais@wsj.com; @kirkmaltais)

CASH MARKETS 


 
Estimated U.S. Pork Packer Margin Index - Nov 10 
 
 This report reflects U.S. pork packer processing margins. The margin indices 
are calculated using current cash hog or carcass values and wholesale pork 
cutout values and may not reflect actual margins at the plants. These 
estimates reflect the general health of the industry and are not meant to 
be indicative of any particular company or plant. 
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 - 
                             integrated operations 
 
Nov 10       +$ 41.54            +$ 48.96 
Nov  9       +$ 45.43            +$ 55.36 
Nov  6       +$ 43.15            +$ 51.34 
 
* 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. 
 
Beef-O-Meter 
This report compares the USDA's latest beef carcass composite 
values as a percentage of their respective year-ago prices. 
 
                                  Beef 
          For Today              Choice   93.2 
      (Percent of Year-Ago)      Select   97.6 
 
USDA Boxed Beef, Pork Reports

Wholesale choice-grade beef prices Tuesday rose $4.86 per hundred pounds, to $222.25, according to the USDA. Select-grade prices rose $6.18 per hundred pounds, to $208.55 The total load count was 136. Wholesale pork prices fell $2.98, to $81.84 a hundred pounds, based on Omaha, Neb., price quotes.

(END) Dow Jones Newswires

11-10-20 1731ET