LIVESTOCK HIGHLIGHTS: Top Stories of the Day

Features Dow Jones Newswires

TOP STORIES

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Brazil's JBS to Sell $1.8 Billion in Assets Following Corruption Settlement--2nd Update

RIO DE JANEIRO -- Brazil's JBS SA, the world's largest meatpacker, said Tuesday it aims to sell 6 billion Brazilian reais ($1.8 billion) of assets in a bid to shore up its cash position following a corruption settlement signed last month.

Owners of JBS told Brazilian prosecutors in April that they had made illicit payments to politicians for several years in exchange for favors, including easier access to cheaper credit. JBS's parent company, J&F Investimentos, has agreed to pay a fine of 10.3 billion reais to settle Brazilian authorities' investigations.

China Details Quality Requirements on US Beef -- Market Talk

1042 GMT - China's food safety sets a series of quality norms on beef from the US, ranging from the cattle's birth place to where and how they are butchered. Among other things the beef cattle must be healthy and less than 2.5 years old, the watch dog says in a statement effective Tuesday. China Premier Li Keqiang first broke the ice to allow imports of US beef in September last year. The first shipment of American beef in 14 years is scheduled to arrive in Shanghai Wednesday, according to officials. (liyan.qi@wsj.com)

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STORIES OF INTEREST

Even the Best NAFTA Buddies Have Their Problems -- Market Talk

15:17 ET - As NAFTA renegotiations loom in the weeks ahead, the top agricultural officials from the US, Canada and Mexico wrap up a two-day meeting in Georgia with a recommitment to "open and transparent trade" that they say has benefited all three countries' farmers and food makers. "While even the best trading partnerships face challenges from time to time, our agricultural differences are relatively few in the context of the $85B in agricultural trade that flows between our three nations each year," say USDA Secretary Sonny Perdue, Canadian agriculture minister Lawrence MacAulay, and Mexican agriculture secretary Jose Calzada. Friction over US trade policy has started to weigh on exports of some key agricultural goods, including soybean meal and chicken. (jacob.bunge@wsj.com; @jacobbunge)

With Whole Foods, Amazon Gets In-Store Shopping Data -- Market Talk

10:07 ET - Online, shoppers tend to be targeted. In store, they're more impulsive. With Amazon's (AMZN) $13.7B Whole Foods (WFM) acquisition, the online retail giant will be able to fill a gaping hole in its consumer knowledge pool by collecting data on how people shop and buy in stores. If the deal goes through, AMZN is likely to put a team of employees to work examining WFM's strategy, cost structures and business practices--as well as its data, according to former AMZN employees. Bringing together online and offline data can help AMZN learn how to entice customers to make more impulse purchases online. (laura.stevens@wsj.com; @laurastevenswsj)

FUTURES MARKETS

Hog Futures Rise on Higher Belly Prices

CHICAGO -- Hog futures climbed just shy of a year-high on Tuesday as strong demand for pork helped push prices upward.

A pound of wholesale pork rose 3.15 cents to 98.79 cents a pound as of Tuesday morning, according to the U.S. Department of Agriculture. Pork bellies, which have been volatile this year due to tight supplies, jumped 11.12 cents to $1.8406 a pound.

Contracts for feeder cattle, younger herds that need to be fattened before slaughter, fell to a month low after the announcement as traders bet that would disrupt the U.S. trade. But futures regained some ground, with CME August contracts closing 0.7% lower at $1.43925 a pound.

CASH MARKETS

Zumbrota, Minn Hog Steady At $54.00 - Jun 20

Barrow and gilt prices at the Zumbrota, Minn., livestock market today are steady at $54.00 per hundredweight.

Sow prices are steady. Sows weighing under 450 pounds are $37.00-$39.00, 400-450 pounds are at $37.00-$39.00, 450-500 pounds are $37.00-$39.00 and those over 500 pounds are $41.00-$43.00.

The day's total run is estimated at 175 head.

Prices are provided by the Central Livestock Association.

Estimated U.S. Pork Packer Margin Index - Jun 20

All figures are on a per-head basis.

Date Standard Margin Estimated margin

Operating Index at vertically -

integrated operations

*

Jun 20 +$17.85 +$81.48

Jun 19 +$14.34 +$75.76

Jun 16 +$15.57 +$74.17

* 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 111.3

(Percent of Year-Ago) Select 110.2

USDA Boxed Beef, Pork Reports

Wholesale choice-grade beef prices Tuesday fell $2.47 per hundred pounds, to $246.99, according to the USDA. Select-grade prices fell $1.48 per hundred pounds, to $219.88. The total load count was 129. Wholesale pork prices rose $2.66, to $98.30 a hundred pounds, based on Omaha, Neb., price quotes.

(END) Dow Jones Newswires

June 20, 2017 17:27 ET (21:27 GMT)