LIVESTOCK HIGHLIGHTS: Top Stories of the Day

Features Dow Jones Newswires

TOP STORIES

Continue Reading Below

SEC Ends Tyson Chicken Price Fixing Probe -- Market Talk

9:46 ET - Tyson Foods (TSN) says the Securities and Exchange Commission has concluded its Broiler Chicken antitrust probe and doesn't plan on recommending an enforcement action against the chicken seller. The SEC was looking into whether Tyson and fellow producers were artificially inflating prices. Maplevale Farms Inc, a food service distributor in Falconer, NY, last year sued chicken processors including Tyson, Pilgrim's Pride (PPC) and Sanderson Farms (SAFM, alleging a yearslong effort to boost the price of broiler chicken meat. TSN gains 0.7%, SAFM rises 0.9%, while PPC slips 0.3%. (austen.hufford@wsj.com; @austenhufford)

STORIES OF INTEREST

Rising Avocado Prices Could Bite Chipotle Earnings -- Market Talk

12:58 ET - Rising avocado prices could hurt Chipotle's (CMG) earnings in 3Q and 4Q, Credit Suisse warns. Due to supply shortages in Mexico and a weak harvest in California, avocado prices have risen by about 75% since July and the ingredient represents about 10% of CMG's cost of goods. Each 10% change in avocado prices impacts earnings per share by about 4%, Credit Suisse says. CMG executives said last month they expected avocado prices to moderate but they've only been increasing, which could result in an earnings hit for the remainder of the year. CMG rises 2.3% to $308.83, but is down 18% this year. (julie.jargon@wsj.com)

Continue Reading Below

Tough Season Ahead for the Chicken-Wing Economy

The party may be over for chicken-wing lovers, as months of red-hot demand and aggressive restaurant promotions have squeezed supplies.

With football season and the much-hyped Floyd Mayweather-Conor McGregor bout just around the corner, sports bars and restaurants are facing record high wholesale prices for chicken wings -- and many are having to choose between raising menu prices, reining in promotions or cutting portion sizes.

FUTURES MARKETS

Cattle Placement Rate Slows in July

The supply of cattle into U.S. feedlots slowed in July from the previous month, according to federal data.

Some 1.6 million head of cattle were placed into feedlots in July, up 3% from a year earlier, according to the U.S.

Cattle futures have slid around 20% since an early June peak, with most-active October futures at the Chicago Mercantile Exchange closing at $1.06925 a pound on Friday before the report. Cash-market rates have also trended lower.

Hog prices, meanwhile, fell on Friday. CME October lean hog futures fell 1.1% to 63.075 cents a pound, pressured by lower cash and pork prices.

CASH MARKETS

Estimated U.S. Pork Packer Margin Index - Aug 25

All figures are on a per-head basis.

Date Standard Margin Estimated margin

Operating Index at vertically -

integrated operations

*

Aug 25 +$35.63 +$54.93

Aug 24 +$34.06 +$55.83

Aug 23 +$33.76 +$58.19

* 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 95.5

(Percent of Year-Ago) Select 97.2

USDA Boxed Beef, Pork Reports

Wholesale choice-grade beef prices Friday fell 43 cents per hundred pounds, to $191.32, according to the USDA. Select-grade prices fell 36 cents per hundred pounds, to $188.30. The total load count was 141. Wholesale pork prices fell 42 cents, to $85.95 a hundred pounds, based on Omaha, Neb., price quotes.

(END) Dow Jones Newswires

August 25, 2017 17:29 ET (21:29 GMT)