Tag Archives: Wholesale retail

Why hasn’t the cost of food gone up yet | Instant News


More American consumers ate at home last year because of the pandemic, contributing to the biggest annual increase in food prices at home in nine years.

Food costs are expected to increase further in 2021. “This year, food price inflation is certainly a concern,” said Isaac Olvera, chief economist with ArrowStream, a supply chain technology company for the food service industry.

Food prices in 2020 are up 3.9% from 2019, according to the US Bureau of Labor Statistics (BLS). Prices are for the food category at home, where the buyer is also a consumer rose at the same rate of 3.9% last year, the biggest annual increase since 2011.

That US Department of Agriculture estimates a 2% to 3% increase in food prices this year, compared to a 20-year historical average increase of 2.4%. Prices for meals outside the home – served by restaurants and other services – are also expected to increase by 2% to 3%, while prices for meals at home are expected to increase by 1% to 2%, the government agency said.

Food inflation is almost double the Federal Reserve’s inflation target, said Sal Gilbertie, president and chief investment officer at Teucrium Trading. Meat and grains, and grain products like bread, represent “a much higher overall rate of inflation,” he said. BLS data revealed an unadjusted 5.5% increase in the meat expenditure category from January 2020 to January 2021.

Gilbertie attributed the higher rate of inflation to rising grain prices and “the failure and rebuilding of China’s pig herd.” The Chinese have to import large quantities of animal protein to make up for the shortage of meat from pig herds hit by African swine fever. Then China imports grain to feed the pigs as it works to rebuild their numbers, he said.

Corn
CH21,
-1.32%

C00,
-1.32%

and soybeans
SH21,
+ 0.24%

S00,
+ 0.24%

prices are higher this time of year. Last year, corn futures rose nearly 25%, wheat
WK21,
-1.09%

W00,
-1.09%

up nearly 15% and soybeans by more than 37%.

China was behind most of the increase in corn and soybeans, Olvera said. Brazil and the US supplied most of the beans to China and last year. Brazil is basically running out of exportable soybeans and is actually importing it.

Among the biggest reasons for the increase in food costs last year, however, were disruptions to packing factories caused by workers suffering from the coronavirus that closed many meat processing facilities, Olvera said. “Packing factories are closed and production of beef, pork and poultry is hampered,” he said, as consumers flock to grocery stores to buy supplies.

Retail food demand this year remains “strong,” Olvera said, with pricing across the protein complex above last year’s level. During this year, the futures price for lean pork
LHJ21,
+ 0.92%

LH00,
+ 0.92%

has increased by about 20%, while feeder cattle
FCJ21,
+ 0.81%

FC00,
+ 0.78%
,
or livestock sent to the feedlot, experienced a modest decline.

Olvera said the increase in the number of skinny pigs this year was partly due to the increase in feed costs. “Many traders are betting on pork supply and export expectations,” and the market suggests that “domestic pork availability may be tight until mid-year.”

The price of feeder cattle is under pressure due to the increase in corn prices. Because maize is used in feed, ranchers are more likely to lose money on fattening cows, Olvera said. There could be less livestock and a tighter meat supply in the second half of this year, he said, adding that he continued to view beef demand as still strong.

The reopening of restaurants will lead to inflation, as wholesale food supplies will be reallocated between retail and food services, Olvera said, although it is not known how active consumers will return to restaurants in a post-pandemic world.

In the long term, “we believe that consumers have changed and this change will force… the food service industry to become more agile,” he said.

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The WHO and Australian agreements raise hopes for the AstraZeneca vaccine | Instant News


The vaccine jointly developed by the drug company AstraZeneca and the University of Oxford has been approved by a growing number of regulators, paving the way for general use, especially in developing countries.

  • Australian drug regulators give temporary agreement for the AstraZeneca – Oxford COVID-19 vaccine on Tuesday, ahead of the national vaccination campaign that kicks off next week.

  • The Canberra government says it has ordered a sufficient dose of vaccine, to be produced in Australia, to cover the country’s entire population.

  • World Health Organization on Monday approve the vaccine for emergency use, which should allow developing countries broad access to fire.

  • AstraZeneca
    AZN,
    -1.19%

    has pledged not to profit from selling the vaccine, which is sold at the lowest price of any vaccine available – at € 1.80 ($ 2.20) per dose, as an example, in the European Union, according to the Belgian health minister, compared to € 18 a dose for Moderna
    MRNA,
    -2.84%

    vaccine and € 12 for Pfizer
    PFE,
    -0.09%

    –BioNTech
    BNTX,
    -2.71%

    one.

  • UK-Swedish group chief executive Pascal Soriot received the same 3% salary increase as company staff for this year, bringing his base salary to £ 1.33 million ($ 1.9 million), The Financial Times wrote. But his bonuses and long-term incentive program can bring his pay package to over £ 15 million.

  • Even after French President Emmanuel Macron publicly voiced doubts about AstraZeneca’s shot in a media interview, his own health minister Olivier Véran remained take a photo take it, in an attempt to convince French public opinion of its efficacy and safety.

The prospects: AstraZeneca sees doubts about the efficacy of its vaccine in the age group 65 and over slowly disappearing, and its low price, together with ease of transport, storage and manipulation, over time could make it one of the most widely used worldwide.

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Nearly half of MyTheresa’s customers in the US and Germany spend tens of thousands on luxury goods each year: Cowen | Instant News


Cowen analysts conducted a survey of customers in the US and Germany who shop on the luxury e-commerce site MyTheresa, finding that around 45% typically spend more than $ 30,000, or € 30,000, annually.

The study also found that the site had high customer loyalty, with around 90% saying they were more likely to recommend MyTheresa to others.

MyTheresa is one of a number of e-commerce retailers that have gone public recently, with stocks that make them debut in January. The parent company for Mytheresa Group GmbH is MYT Netherlands Parent BV
MYTH,
+ 5.25%
.

“We love MyTheresa’s consistent execution which is reflected in the steady growth of active customers, revenue and profitability from FY18 to date, as well as 100% brand retention which is key to supply,” wrote analysts led by Oliver Chen.

Analysts note that MyTheresa is a $ 600 million platform with a potential long-term revenue growth of over 20%.

Read: Germany-based MyTheresa joins a growing list of e-commerce retailers that are going public

“As well as consistency, MyTheresa is positioned as a major beneficiary of global luxury online; Cowen predicts the global online luxury goods market will grow + 25% CAGR [compound annual growth rate]. “

Cowen initiated the performance of the MyTheresa stock with a target price of $ 40.

JPMorgan analysts said MyTheresa had “the opportunity to have a head start on e-commerce growth in the underrated luxury online retail sector.”

In the online luxury retail category, analysts say MyTheresa has less than 20% overlap with its competitors. Other companies in the sector include Farfetch Ltd.
FTCH,
-1.63%

and Nordstrom Inc.
JWN,
+ 1.95%
,
which sells online in addition to its traditional department store locations.

See: Ralph Lauren cuts 30% of the company’s North American office space, closing stores around the world

Too: Michael Kors became a stronger brand by growing smaller

“MyTheresa is uniquely positioned in the online multi-brand luxury sector, driven by a highly curated product offering and a disciplined focus on the high-end luxury segment,” wrote JPMorgan.

“On the product side, MyTheresa facilitates an efficient purchasing process for time-limited consumers, with a focus on quality over quantity, making it easier for consumers to find the best product in a short amount of time.”

JPMorgan started up MyTheresa stock overweight with a target price of $ 38.

UBS, which started MyTheresa on a neutral basis, highlighted the risk of stocks.

“Risk factors include competition from the luxury industry, a concentrated supply base, a concentrated customer / shopper base and the complexity of an international presence,” the note said.

However, UBS remains “constructive” on the opportunities for retailers as a luxury online businessman.

MyTheresa shares rose 5.3% in trading Tuesday. The stock started trading at $ 35.85 and closed Friday at $ 31.34.

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Futures Rise After Capitol Riot Inquiry Commission Is Announced | Instant News


AstraZeneca Covid-19 vaccine bottle

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The AstraZeneca COVID-19 vaccine problem was ignored by the UK and Australia | Instant News


Officials in the UK and Australia are trying to reassure their citizens of the efficacy of the AstraZeneca – Oxford University COVID-19 vaccine, after South African authorities decided to stop its launch due to “limited protection” against local variants of the virus.

  • South African Health Minister Zweli Mkhize said on Sunday his country would do so pause the planned deployment of the vaccine, after clinical trials determined that the vaccine did not protect against mild and moderate disease because of local and fast-spreading viral variants.

  • British Vaccine Minister Nadhim Zahawi, however, said that the public could have self confidence at AstraZeneca
    AZN,
    + 0.19%

    shot, which has proven efficient against the dominant strains in England

  • Australian Health Minister Greg Hunt stressed that “there is now there is no proof to demonstrate decreased effectiveness of AstraZeneca or Pfizer
    PFE,
    -0.29%

    vaccines to prevent serious illness and death. ”

  • Other governments, such as France and Germany, so far limit usage AstraZeneca vaccine is for people over 65 years, while Switzerland has it refuse its use at all.

Read: The AstraZeneca vaccine can reduce spread by up to 67% – and protection remains for an interval of 3 months

The prospects: Most of the doubts about the AstraZeneca-Oxford vaccine stem from insufficient data on its use in an older population. It is up to the company to prove doubters wrong in the coming months, as it is gathering more data on efficacy across all age groups.

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