Obese pigs in China are worsening a slump in pork prices, report says
China Photos/Getty Images
- Obese pigs are being blamed for worsening the slump in China's pork prices, Bloomberg reported.
- Farmers anticipated that larger animals would generate higher returns when prices increased, but a slew of bad news has weighed on pork prices.
- Now farmers have to spend more to feed the larger animals, meaning each animal generates less return.
- Sign up here for our daily newsletter, 10 Things Before the Opening Bell.
Obese pigs in China are being blamed for worsening a slump in the country's pork prices, according to a report from Bloomberg.
In the hope that a larger animal will generate higher returns if prices rebound, farmers in China have been fattening their pigs to double their weight, nearly the size of a female polar bear, Bloomberg said.
However, the strategy hasn't helped farmers as prices haven't rebounded.Chinese pork prices have fallen more than 40% since mid-January amid sluggish demand, increased imports, and panic-selling after a recent swine fever outbreak.
The price rout since February triggereda sell-off in the large pigs that could be delaying a rebound in prices, Lin Guofa, senior analyst at consultancy Bric Agriculture Group told Bloomberg.
For farmers who still own the larger hogs, falling pork prices have led to poor returns on the animals because they're larger and more expensive to feed.
Sensex rallies 380 pts; Nifty reclaims 15,300
The 30-share BSE index ended 379.99 points or 0.75% higher at 51,017.52, and the broader NSE Nifty surged 93 points or 0.17% to 15,301.45
Equity benchmark Sensex rallied 380 points on Wednesday, led by gains in index majors Infosys, HDFC and TCS amid a largely positive trend in Asian markets.
The 30-share BSE index ended 379.99 points or 0.75% higher at 51,017.52, and the broader NSE Nifty surged 93 points or 0.17% to 15,301.45.
Bajaj Finserv was the top gainer in the Sensex pack, jumping nearly 5%, followed by Bajaj Finance, Infosys, M&M, Maruti and HDFC.
On the other hand, PowerGrid, NTPC, ONGC and Kotak Bank were among the laggards.
"Domestic equities remained upbeat as improved visibility about economic recovery from 2QFY22 continued to lift investors’ sentiments," said Binod Modi, Head – Strategy at Reliance Securities.
Barring metals, most key sectoral indices traded in green. IT stocks witnessed sharp rebound after positive commentary of select managements about strong execution delivery despite the second wave of pandemic, he added.
Elsewhere in Asia, bourses in Shanghai, Hong Kong and Tokyo ended on a positive note, while Seoul was in the red. Equities in Europe were trading on a mixed note in mid-session deals.
Meanwhile, international oil benchmark Brent crude was trading flat at $68.50 per barrel.
‘Your actions speak louder than your words’: Transgender and non-binary athletes call out NCAA
Transgender and non-binary athletes across the country are taking a stand against the NCAA.
Fifty current and former college athletes sent a letter to the governing body Wednesday asking it to take action in response to a wave of states' anti-transgender athlete bills.
"We, the undersigned, are deeply disappointed and hurt by the NCAA’s choice to host Division I softball championship games in states with transgender athlete bans," Athlete Ally Policy and Program Manager Emet Marwell wrote in the letter on behalf of the group. "We are a group of transgender and non-binary current and former NCAA student-athletes, the community you claimed to 'firmly and unequivocally support' in your statement released on April 12th, 2021."
In May, three states with legislation banning transgender athletes from interscholastic competition were named as hosts for the 2021 college softball tournament, which concludes in June.
Capri Holdings Guides Q1 Above Estimates – Quick Facts
While reporting financial results for the fourth quarter and fiscal 2020 on Wednesday, fashion luxury group Capri Holdings Ltd. (CPRI) provided earnings and revenue outlook for the first, second, third and fourth quarters as well as for the full-year 2022.
For the first quarter, the company projects earnings of about $0.75 per share on total revenues of about $1.1 billion.
On average, analysts polled by Thomson Reuters expect the company to report earnings of $0.55 per share on revenues of $1.01 billion for the quarter. Analysts’ estimates typically exclude special items.
The company also expects earnings of about $0.70 to $0.75 per share on total revenues of about $1.2 billion for the second quarter, earnings of about $1.65 to $1.70 per share on total revenues of about $1.4 billion for the third quarter and earnings of about $0.55 to $0.60 per share on total revenues of about $1.4 billion for the fourth quarter.
Looking ahead to fiscal 2022, the company now projects earnings of about $3.70 to $3.80 per share on total revenues of about $5.1 billion. The Street is currently looking for earnings of $3.72 per share on revenues of $4.99 billion for the year.
The Company also notes that fiscal 2022 includes a 53rd week in its fiscal fourth quarter.
Stock Alert: FinVolution Down 5% After Gaining On Higher Q1 Results
Shares of Chinese fintech platform FinVolution Group (FINV) are down 5 percent in morning trade after initially showing a gain of 11 percent following higher earnings in the first quarter.
The company posted net income of RMB 590.4 million or $90.1 million in the three-month period, higher than RMB 419.4 million in the prior-year quarter.
On an ADS basis, income was RMB 2.00 or $0.31, up from RMB 1.36 in the same period last year.
Quarterly revenues came in at RMB 2.11 billion or $322.5 million, higher than RMB 2.10 billion a year ago.
The stock is currently trading at $7.35, down $0.47 or 5 percent on the NYSE.
FINV has traded between $1.44 and $10.61 during the last 52 weeks.