As a major supplier of poultry to the Chinese market, Brazilian poultry experienced the pull of COVID-spiked demand back in March and April of this year. Chicken prices in both countries have resumed a more normal spread with China priced about 10 percent higher. However, back in late March Brazilian poultry was priced 38 percent less than the $1.38/kg market high price in the Middle Kingdom. Brazilian prices have edged higher in June as COVID-19 cases have impacted the workforce for processing birds. Still, the impact on poultry prices has been more modest than the COVID induced value swings that impacted China’s most favorite animal protein, pork. ...
What You Need to Know Today: President Trump claimed the ceasefire between the U.S. and Iran was over, as both sides accused one another of violating the terms of the agreement. Commercial vessels are increasingly steering clear of the Strait of Hormuz as security risks escalate following Iran...
Key Takeaways: The CME Group is launching new 90 percent Lean Beef and 50 percent Lean Beef futures and options contracts in July. There are five key factors that must be present in physical markets and futures contract specifications for futures contracts to become successful. The two l...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.