|Day's Range||79.625 - 74.475|
China producer prices were unchanged in June, snapping almost three years of consecutive growth, according to official figures, while the pace of consumer price increases remained steady despite another jump in the cost of pork. Consumer inflation held in line with the previous month’s 2.7 per cent year-on-year rise, matching economists’ expectations. That was driven by an 8.3 per cent rise in food prices, led by a jump in pork prices, China’s favoured meat, and as fruit prices surged 42.7 per cent owing to bad weather and low prices last year. Pork prices rose 21.1 per cent, the fastest rise in three years, according to Wind data.
Lower capital expenditures, fewer wells and longer lateral lengths are helping oil and gas exploration and production (E&P) companies turn their balance sheets rightside-up, but oilfield services firms are getting left out in the cold. One of the dirty little secrets of the American shale oil and gas boom of the past four years has been that most E&P companies drilling in the shale are cash flow negative. Horizontal wells in tight rock are expensive to construct and their hydrocarbon flows tend to fall off more rapidly than conventional wells.
Investing.com - Prices of safe-haven gold rebounded on Tuesday in Asia after falling below the $1,400 level as a trade truce between the U.S. and China boosted risk appetite.
This story is part of an ongoing series on how China is reshaping our world. What does a meat market in China have to do with Brazilian soybean farms? A whole lot, it turns out. Chinese diners are consuming more meat than ever, pork in particular.
Canadian producer prices edged up by 0.1% in May from April on higher prices for energy and petroleum products while an outbreak of African swine fever in China boosted demand for pork, Statistics Canada said on Friday. Fresh and frozen pork prices posted a 1.9% gain thanks to a decrease in global hog supply driven by fever-related challenges in China. Prices for unwrought copper and copper alloys slumped by 5.9% amid speculation that an escalating trade dispute between China and the United States would cut demand.
With over 200 million people and an emerging middle class, Nigeria is witnessing a boom in demand for meat that offers potential but also risks for the semi-nomadic herders who provide most of its beef. According to government estimates, Nigeria, consumes 360,000 tonnes of beef each year, accounting for half of all West Africa. Today, most of the demand is met by pastoralists from the ethnic Fulani group, who follow time-honoured techniques of raising cattle, driving them south to pastures and taking them to market.
(Bloomberg) -- A looming shortfall in U.S. corn production after a historical spat of wet weather means wheat is back on the menu at cattle feedlots in the southern Plains.Surging prices for corn, the gold standard in fattening cattle, are making wheat that’s usually reserved for human food into a relative bargain for feeding livestock. Prices for both crops surged after record rainfall this spring saturated American fields. But corn’s gains have outpaced those of wheat, shrinking the latter’s traditional premium. In some parts of the U.S., the cash spread has even swung to a discount.Hard red winter wheat, typically used to make flour for bread, was being sold as feed to cattle and hog operations for shipment in July, August and September, said Justin Gilpin, chief executive officer of the Kansas Wheat Commission, a trade group.“In southwestern Kansas, we’ve seen more wheat put on the books for feed than in quite a while,” Gilpin said in a telephone interview. “That’s in large part because feeders are concerned about corn prices and availability.”The U.S. Department of Agriculture earlier this month surprised traders by projecting smaller-than-expected wheat stockpiles, partly amid expectations for more use in livestock feed. The agency will issues figures on quarterly grain inventories in a report due Friday.The USDA estimated about 140 million bushels of wheat will go to domestic feed and residual use in the season that started June 1. While that’s nearly triple last season’s amount, it still represents only about 4% of total supply, leaving room for more demand gains that could further erode reserves.Also adding to the mix is expectation of lower wheat quality this year, which may leave more of the crop for feed instead of human consumption. Harvesting in key U.S. states is running behind and the average protein content in hard red winter grain is lower than last year, according to U.S. Wheat Associates.Cattle ranchers in western Texas look at the grain as a feed option when wheat futures’ premium to corn gets close to about 60 cents per bushel, according to Charlie Sauerwein, a consultant at grain merchant WindRiver Grain LLC in Garden City, Kansas.The premium for September hard red winter wheat futures dropped to about 23 cents a bushel over corn for the same delivery month in Chicago on Tuesday. When the futures spread narrows this much, it usually means that in some cash markets, wheat can be found at a discount to corn. Also, wheat is already being harvested, giving some livestock producers an immediate cheaper option as corn fields won’t be cut for a few months.“We are as narrow as we’ve been in history,” Sauerwein said of the spread. “It’s an incentive to look at wheat.”(Adds detail on wheat quality in seventh paragraph.)\--With assistance from Isis Almeida.To contact the reporter on this story: Michael Hirtzer in Chicago at firstname.lastname@example.orgTo contact the editors responsible for this story: James Attwood at email@example.com, Millie MunshiFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Walmart China has launched a blockchain-based platform aimed to address food safety concerns in the country.
(Bloomberg) -- Earlier this year, the prospect of a gaping global protein hole caused by swine fever in China pushed hog futures to the highest in five years. Now, prices are sliding back abit.Futures on Tuesday dropped below where they were at the start of 2019. There’s concern that there are just too many American hogs. Swine fever in China is spreading, but traders haven’t been impressed with its purchase of U.S. pork lately. No. 1 ham customer Mexico hasn’t been buying as much either, according to the latest government data, because of the trade war.Meanwhile, U.S. farmers are building new barns and slaughter capacity is expanding, according to The Commstock Report. Feed costs are also a headwind for hogs, as persistent Midwest flooding signals tighter corn and soybean supplies, Jeremy Scott, Mizuho proteins analyst, said in a report.Mexico bought less American pork for the first time in seven years in 2018. That trend continued through the first four months of 2019, with pork exports of 232,392 metric tons down 18% from the comparable time in 2018, according to the U.S. Department of Agriculture. Ham prices are starting to ease off of highs.“You’re talking about a 20% gratuity to the Mexico treasury every time you ship hams to Mexico,” Joe Schuele, vice president of communications at the U.S. Meat Export Federation, said by phone. “That’s a pretty big factor.”Hog futures for August settlement fell 0.7% Tuesday to close at 81.7 cents a pound. That’s 1% below the price at the start of the year. The contract touched a record high of $1.02975 on March 22, when peak swine fever fears were aroused. That price was the highest of any most-active contract in five years.To contact the reporters on this story: Lydia Mulvany in Chicago at firstname.lastname@example.org;Michael Hirtzer in Chicago at email@example.comTo contact the editors responsible for this story: James Attwood at firstname.lastname@example.org, Reg Gale, Steven FrankFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The Canadian dollar was little changed on Tuesday, paring earlier losses after slipping to a two-week low against the greenback, as a rally in oil prices offset domestic data showing an unexpected drop in April manufacturing sales. Canadian factory sales fell by 0.6% in April from March as motor vehicle sales were held back by temporary assembly plant shutdowns, Statistics Canada said. The price of oil, one of Canada's major exports, rose as Middle East tensions offset signs that global economic growth is being hurt by the trade dispute between the United States and China.
World share markets snapped a seven-day winning streak on Wednesday as the White House took a tough line on trade talks with China, while a barely visible rise in U.S. inflation kept up talk of an early cut in interest rates there. Europe's main markets and Wall Street futures both followed Asia lower.
World share markets snapped a seven-day winning streak on Wednesday as the White House took a tough line on trade talks with China, while an impending reading on U.S. inflation was set to refine the odds of an early cut in interest rates there. FX dealers kept the dollar near an 11-week low as they waited to see whether the U.S. inflation numbers would bolster their bets on the first U.S. rate cuts since the financial crisis.
World share markets snapped a seven-day winning streak on Wednesday as the White House took a tough line on trade talks with China, while an impending reading on U.S. inflation was set to refine the odds of an early cut in interest rates there. FX dealers kept the dollar near an 11-week low before the U.S. data, having priced in the first U.S. rate cuts since the financial crisis.
Asian share markets were in a defensive crouch on Wednesday as the White House took a tough line on trade talks with China, while a looming reading on U.S. inflation could scramble the odds for an early cut in interest rates there. E-Mini futures for the S&P 500 fell 0.2% and EUROSTOXX futures lost 0.5%. "This time people will look at how the U.S. reacts to this kind of news.
Asian share markets took a step back on Wednesday as the White House took a tough line on trade talks with China, while a looming reading on U.S. inflation could shuffle the odds for an early cut in interest rates there. Market moves were modest, with MSCI's broadest index of Asia-Pacific shares outside Japan off 0.5% after two days of gains. Japan's Nikkei dipped 0.1%, while E-Mini futures for the S&P 500 hardly budged.
China's factory inflation slowed in May as faltering manufacturing hit demand, reinforcing worries about cooling growth in the world's second-largest economy, while a surge in food prices could add to consumer grievances about living costs. The slowdown was driven by declines in industrial commodities prices and was in line with the downbeat factory activity seen in May. It also comes amid China's worsening trade dispute with Washington, which analysts fear could trigger a global recession. China's producer price index (PPI) in May rose 0.6% year-on-year, the National Bureau of Statistics (NBS) said in a statement on Wednesday, in line with analyst expectations and lower than a 0.9% uptick in April.
Asian share markets were in a wary mood on Wednesday as the White House took a tough line on trade talks with China, while a looming reading on U.S. inflation could shuffle the odds for an early cut in interest rates there. Market moves were modest, with MSCI's broadest index of Asia-Pacific shares outside Japan off 0.38% after two days of gains. Japan's Nikkei dithered either side of flat, while Shanghai blue chips eased 0.5% following a 3% jump the day before.
Oil prices slid 4% on Wednesday on higher U.S. crude inventories and a bleaker demand outlook, while uncertainty over the U.S.-China trade war and U.S. economic data weighed on stocks. The dollar index rose as trade tensions and U.S. interest rate policy remained in focus after President Donald Trump expressed optimism about the prospects for a trade deal with China but continued to threaten tariff increases in the absence of a deal. Weak economic data such as Wednesday's has investors hoping the Fed would give hints about a rate cut after its June 18-19 meeting.
Supermarket chain Carrefour has reportedly attributed a recent increase in sales to its use of blockchain tracking for food products.
Canadian producer prices increased by 0.8% in April from March, driven mainly by higher prices for energy and petroleum products and pork, Statistics Canada said on Friday. Analysts in a Reuters poll had ...