Food & Beverage
Pizza stock prices bounce as basketball 'madness' begins
March Madness begins and the pizza-eating and investing kicks off.
March 15, 2021 by S.A. Whitehead — Food Editor, Net World Media Group
In the runup week to March Madness, which officially started this past Selection Sunday, investors placed pizza prominently in their "brackets," sending the values of all four publicly traded brands that Pizza Marketplace monitors up, beginning with Ann Arbor, Michigan-based, Domino's, which shot out of its recent doldrums last week when traders raised its price $30.87 over the week to close at $361.11 Friday.
Papa John's also perked up over the week's trading, rising $4.49 in value to close Friday at $87.16. For Pizza Hut parent, Yum Brands, there was also progress albeit small. The Plano, Texas-based brand and its sister brands, KFC, Taco Bell and The Habit Burger Grille, picked up 48 cents in value over the week's buying and selling to close Friday at $104.81.
And finally, Pizza Inn and Pie Five parent, Rave Restaurant Group, continued to tick upward toward increasing profitability last week when the stock ended Friday at $1.57, up 44 cents from the previous week's close.
Cheese
In cheese trading on the Chicago Mercantile Exchange, increasing demand is helping to push prices higher as the average price for barrels gained nearly8 cents to ring in at $1.52, while the average price of blocks gained a dime for an average of $1.76. Barrels closed at $1.55 and 40-pound blocks ended at $1.79, according to the U.S. Department of Agriculture.
Some cheesemakers told the U.S.D.A. they are experiencing a busy demand push, as market prices continue to edge higher. Additionally, the number of states which have loosened COVID-19 restrictions has also helped bolster sales of the commodity across foodservice. Cheese market tones are currently finding some bullish footing.
Wheat
Wheat prices fell lower again, and the U.S.D.A. said that largely dry weather in the Plains up until just recently has done little to help the financial causes of wheat growers there.
May Minneapolis Grain Exchange spring wheat futures fell slightly to nearly $6.34, as did May Kansas City hard red winter wheat prices, which came in at nearly $6.04, according to the U.S.D.A. May Chicago soft red winter futures fell nearly a nickel to $6.38.
Today, May Chicago SRW futures dropped 4.5 cents to $6.38, May Kansas City HRW futures slipped half a penny lower to $6.0375, and May MGEX spring wheat futures inched 0.25 cents lower to $6.3375.
Auto fuel
Gas prices gained a hefty 9 cents over the last seven days, to an average of $2.86 this morning for a gallon of regular, according to the American Automobile Association. Rising crude prices, tightening gas supplies and increased gas demand continue to drive pump prices to higher ground.
According to data from the U.S. Energy Information Administration, total domestic gas stocks decreased by 11.9 million barrels (bbl) to 231.6 million bbl, as demand increased from 8.15 million barrels per day (b/d) to 8.73 million b/d the previous week. Last week's demand measurement is the highest since the end of November 2020. If these trends continue alongside higher crude prices, drivers can expect pump prices to increase through the weekend, AAA said.
Last week the highest weekly increase was in Utah again, which saw pump prices spike 20 cents over the seven days, on average. Idaho was next highest with a 17-cent increase last week, followed by Wyoming, Missouri and Florida, which all saw the average price of a gallon of regular bump up 15 cents over the week.
The average this morning for a gallon of mid-grade came in at $3.18, up a dime from the previous week, while the average price of premium ($3.45) today was up 9 cents from a week ago. Diesel fuel average $3.08, up 7 cents from a week earlier, while E85 came in at $2.46, up 7 cents from the previous week.
Natural gas
Natural gas spot prices fell at most locations for the latest report week that ended on March 10 due to warmer-than-normal temperatures across the Lower 48 states. The Henry Hub spot price fell from $2.84 per million British thermal units (MMBtu) last Wednesday to $2.60/MMBtu over that period.
At the New York Mercantile Exchange the price of the April 2021 contract decreased 12 cents, from $2.82/MMBtu last Wednesday to $2.69/MMBtu yesterday. The price of the 12-month strip averaging April 2021 through March 2022 futures contracts declined 10 cents/MMBtu to $2.890/MMBtu.
The natural gas plant liquids composite price at Mont Belvieu, Texas, fell by 6 cents/MMBtu, averaging $7.97/MMBtu for the week. The price of ethane fell alongside with natural gas prices, declining 3%. Propane, butane, and isobutane fell by 1%, 1%, and 5%, respectively, as heating- and gasoline-blending seasons wind to a close. The price of natural gasoline rose by 5%.
About S.A. Whitehead
Pizza Marketplace and QSRweb editor Shelly Whitehead is a former newspaper and TV reporter with an affinity for telling stories about the people and innovative thinking behind great brands.
