Themes and Thesis Updates Black Book
We are hosting our Consumer Staples Themes and Thesis Updates Black Book today at 2 PM EST. We will examine the headwinds and tailwinds facing the consumer staples sector. We will cover our investment thesis for BUD, TAP, STZ, SAM, KR, ACI, GO, STKL, APPH, SV, and NOMD.
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CLICK HERE for a live webcast and materials (available at 2 PM). |
Truckload rates hit new highs (PG)
The DAT Truckload Volume Index increased 31% from February to March. This represented its highest level since the index was rebalanced in 2015. The total number of loads posted on the DAT network saw a 22.3% increase from February to March. The national average load to truck ratio was 12.2 in March, down from 15.9 in February – which was impacted by winter storms. Earlier this week, Procter & Gamble said it expects freight costs to be more than $200M higher this year.
China’s pork imports (TSN)
Even as China’s hog population recovers from a deadly disease that began nearly three years ago, the country continues to import more pork. China’s Customs Administration shows that the country imported 16% more pork in March than the prior year. Year to date, China has imported 22% more pork. The increase in imports has led to speculation that new outbreaks of African swine fever are worse than reported. The customs data also shows that China imported 1.93M metric tons of corn just during March, a 506% surge from a year ago. China, the world’s largest importer of soybeans, has imported 21.2M metric tons of soybeans in Q1, up 19% YOY, with US soybeans accounting for 90% of shipments.
