Extreme Weather Impact The polar vortex and extreme cold conditions have settled across much of the livestock, poultry and dairy producing regions of the U.S. Yesterday some packers closed and/or cancelled production shifts due to the weather and risk to both livestock and workers. The current cold is extending problems for the cattle supply. Ironically, feeders were hoping for a freeze to firm up muddy feed yards in the Plains. Warm, wet conditions and muddy pens were taking a toll on cattle. However, the sub-zero temperatures won’t help and instead just add new problems. Some feeders had slowed buying due to the conditions and aren’t likely to resume while they continue. Average daily gains will drop as feed consumption incr...
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.
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...