The last week was very busy with regard to agro issues, with the slaughterhouse stock market attentive to the global macroeconomic scenario.
Check out the main themes that were highlighted in Agro Times:
5 – Avian flu: Advance in South America lights alert for JBS (JBSS3) and BRF (BRFS3)
Case of avian influenza in an industrial farm in Chile with around 40,000 birds raises health concerns. The analyst at Safras & Mercado, Fernando Iglesias, does not believe that the disease will reach the Brazilian market, and for him, if avian influenza arrives in Brazil, it should be restricted to wild birds, given the extremely strict animal health conditions in the country.
4 – Raízen (RAIZ4) soars 5% after almost billionaire dividends; time to buy?
Raízen (RAIZ4) shares soared more than 5% on Tuesday (14), with the market echoing the announcement of the payment of BRL 919 million in dividends made by the sugar and ethanol producer.
The market returned to demand the company’s shares after a period of absence, with weight managers disposing of positions in Raízen, in the case of Baillie Gifford, in early March.
3 – Livestock: Difference in prices of arroba and meat reaches the highest level since 2021, points out Cepea
In the March part, until the 14th, the Cepea/B3 cattle indicator had an average of R$ 274.48 per arroba, with the matched carcass sold wholesale at R$ 284.85 per arroba, that is, an advantage R$ 10.37 per arroba for protein.
2 – Stocks of slaughterhouses rise en bloc with swine fever outbreak in China; see what actions to take
Slaughterhouse shares led the highs within the Ibovespa (IBOV) on Thursday (16). Marfrig shares (MRFG3) jumped around 10% at R$7.59, with the sector as a whole rising in bloc, after news from China. A new outbreak of African swine fever in China makes Brazilian slaughterhouses even more attractive for investment, according to Itaú BBA.
The World Organization for Animal Health (WHOA) has yet to confirm these new cases of African swine fever in China.
1 – 2023 confirms a phase change in the cattle price cycle, analyst points out
According to Felipe Fabbri, market and animal production chain analyst at Scot Consultoria, the increase in the slaughter of females released by the IBGE this week confirms, according to him, the change in the phase of the livestock price cycle, since animal prices Replacement animals began to operate at a low rate from the 2nd half of 2021.
“A calf, weaned about 2 years ago, was sold for R$ 3,500, a price explosion in that period, which encouraged the producer to retain females in his squad, and the scenario today is the opposite. This supply of calves is reaching the market and replacement prices have discouraged keeping females in the herd for longer”, he assesses.
Understand how the live cattle price scenario affects stock prices.
Source: Moneytimes
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