Tom's Feed
Jan 30, 2015

GFI Group shareholders reject proposed CME Group takeover

CHICAGO (Reuters) – GFI Group Inc (GFIG.N: Quote, Profile, Research) shareholders on Friday voted down a proposed takeover by CME Group Inc (CME.O: Quote, Profile, Research), the companies said, opening the door for a hostile bid from rival BGC Partners.

CME Group, the world’s largest futures exchange operator, for months has been locked in a bidding war for GFI Group, a derivatives broker, with BGC Partners Inc (BGCP.O: Quote, Profile, Research).

Jan 29, 2015

JBS expands Utah plant as tight cattle supply squeezes rivals

CHICAGO, Jan 29 (Reuters) – JBS USA, one of the top
U.S. meat processors, said on Thursday it will expand a Utah
beef-processing facility, even as some of its rivals have been
shuttering plants because of tight cattle supplies.

The $75 million project, set to be completed by mid-2016,
signals JBS is looking beyond the current lack of supply to a
time when producers will begin rebuilding cattle herds, which
have dropped to their smallest size since 1951 after several
years of drought.

Jan 27, 2015

Cargill likely to stay private, commits to Ukraine: CEO

MIAMI, Jan 27 (Reuters) – Cargill Inc, one of the
world’s largest privately held corporations and a top
commodities trader, will likely remain private for at least
another decade, the chief executive said on Tuesday as he
assessed challenges facing the 150-year old company.

David MacLennan, who has led Cargill for the past 13 months,
also revealed that unrest in Ukraine had affected plans for the
company’s expansion in the Black Sea, a key grain-producing
region. In the United States, he said new financial reform rules
have made it harder for Cargill to manage risk.

Jan 26, 2015

U.S. regulators should study oil slump -CFTC official

MIAMI, Jan 26 (Reuters) – U.S. futures market regulators
should review the sharp drop in crude oil prices to gain a
better understanding of the slide as they pursue rules to crack
down on speculation in commodities, a top official said on
Monday.

The Commodity Futures Trading Commission is considering
regulations to rein in speculation in energy, grain and metals
markets with new rules on position limits. However, the agency
needs more data to justify sweeping changes, Commissioner
Christopher Giancarlo told a commodities conference in Miami.

Jan 25, 2015

Suspected Boko Haram militants attack major Nigeria northern city

MAIDUGURI, Nigeria (Reuters) – Suspected Boko Haram militants began attacking Nigeria’s major northeastern city of Maiduguri just after midnight on Sunday, military, government and local sources said.

At around 9 am (0800 GMT) on Sunday, a Reuters witness said shelling could be heard and that military helicopters were circling the city.

Jan 24, 2015

Critic re-elected to U.S. futures-industry regulator’s board

CHICAGO, Jan 23 (Reuters) – A critic of the U.S. National
Futures Association won re-election to its board, the industry
regulator said on Friday, setting the stage for more tension
over its practices.

James Koutoulas, chief executive of Typhon Capital
Management, was re-elected as a director after accusing the NFA
of breaking its own rules for nominating public representatives
last year and of falsifying documents to cover up alleged
wrongdoing.

Jan 23, 2015

Deere to cut more than 900 U.S. workers as farm economy weakens

CHICAGO, Jan 23 (Reuters) – Deere & Co, the world’s
largest maker of farm equipment, will lay off more than 900
employees at plants in Iowa and Illinois in the latest round of
job cuts spurred by a decline in grain prices that is hurting
demand for agricultural machinery.

The layoffs, which represent about 3 percent of Deere’s
workforce in the United States and Canada, are set to begin
early next month, the company said in a statement.

Jan 22, 2015

Markets weaken under pressure from firming U.S. dollar

CHICAGO, Jan 22 (Reuters) – U.S. grain and soybean futures
slipped on Thursday as the rising U.S. dollar made farm products
less competitive on the global market.
The United States is having a hard time competing for grain
export business, with Ukraine and South America undercutting
U.S. corn prices, said Tomm Pfitzenmaier, analyst for Summit
Commodity Brokerage in Iowa.
Lower-priced corn available from rival exporters “is going
to continue to be an ongoing problem for U.S. producers,
especially if the dollar continues to work higher,” he added.
On Friday, traders will digest weekly export sales data from
the U.S. Department of Agriculture, a day later than usual due
to Monday’s federal holiday.
Chicago Board of Trade March corn unofficially ended
down 3-3/4 cents at $3.84-1/4 a bushel, while March soybeans
dropped 5-3/4 cents to $9.77-3/4 a bushel.
Weakness in crude oil prices and expanding U.S. ethanol
inventories added pressure on corn prices, traders said, noting
that weekly ethanol stocks rose 158,000 barrels to 20.4 million
barrels.
“The large inventories are becoming a problem,” Pfitzenmaier
said.
Weekly U.S. ethanol output also increased, according to the
U.S. Energy Information Administration. However, production is
expected to trend lower in the coming months due to weakening
margins, said Rich Nelson, chief strategist for brokerage
Allendale.
In global corn production, the International Grains Council
raised its 2014/15 world crop estimate to a record 992 million
tonnes from 982 million.
Forecasts for timely rains in Brazil, a major corn and soy
producer, lifted crop expectations and weighed on prices,
traders said.
Soybeans touched a three-month low of $9.72-1/4 a bushel
earlier in the week on expectations of a record Brazilian crop,
which would boost already ample global production and tempt top
buyer China to turn from U.S. to South American supplies.
Argentina is expected to harvest 13.9 million tonnes of
wheat in the 2014/15 season, the agriculture ministry said,
raising its estimate from 13.2 million tonnes.
March wheat futures dipped 3 cents to $5.33-3/4 a
bushel.

Prices at 1:19 p.m. CST (1919 GMT)

LAST NET PCT YTD
CHG CHG CHG
CBOT corn 384.25 -3.75 -1.0% -8.9%
CBOT soy 977.75 -5.75 -0.6% -25.5%
CBOT meal 330.20 -0.30 -0.1% -24.6%
CBOT soyoil 32.01 -0.40 -1.2% -17.5%
CBOT wheat 533.75 -3.00 -0.6% -11.8%
CBOT rice 1118.00 -19.00 -1.7% -27.9%

Jan 21, 2015

CME, U.S. futures regulator take action after Swiss franc shock

CHICAGO (Reuters) – CME Group Inc (CME.O: Quote, Profile, Research) and a U.S. futures market regulator on Wednesday separately altered oversight rules as they braced for more volatility following the Swiss National Bank’s shocking move to scrap the franc’s cap against the euro last week.

The changes come amid reports the European Central Bank may announce new stimulus as soon as Thursday even as the U.S. central bank moves closer to tightening monetary policy.

Jan 21, 2015

U.S. plans increased oversight of chicken production

CHICAGO, Jan 21 (Reuters) – U.S. meat inspectors are set to
toughen their standards for the nation’s poultry production in
March in a bid to reduce foodborne illnesses such as salmonella,
according to U.S. Department of Agriculture proposals released
on Wednesday.

Under new guidelines, the USDA plans to begin testing raw
chicken parts for salmonella after an 18-month outbreak of the
bacteria linked to Foster Poultry Farms ended last year. The
outbreak sickened more than 600 people.