TOP STORIES 



  McDonald's Sues to Recover Severance From Fired CEO 


  McDonald's Corp. said it is suing former Chief Executive Steve Easterbrook and seeking to recoup tens of millions of dollars it paid him in severance and benefits, alleging that he lied to the board about sexual relationships with employees before his ouster last fall. 


  The fast-food giant dismissed Mr. Easterbrook without cause in November 2019, following an investigation into his conduct. Investigators found he had a short-term, consensual relationship with an employee over text and video, but Mr. Easterbrook denied any physical sexual relationships with McDonald's employees, according to the complaint filed Monday. 


  Beyond Meat Stock Gets a Big Target-Price Bump, but Goldman Sachs Still Says Sell -- Barrons.com 


  Beyond Meat stock was trading down, curiously, after Goldman Sachs increased its price target for shares -- by a lot -- Monday morning. 


  Analyst Adam Samuelson raised his price target for the alternative-protein pioneer from $44 to $112. That is a 155% increase. Despite the rise, he kept his Sell rating on shares, which appeared to be weighing on the stock. 


  STORIES OF INTEREST 


  Pizza Hut Launches Plant-based Beyond Meat Pizzas In Puerto Rico -- MarketWatch 


  Yum Brands Inc. (YUM) chain Pizza Hut launched the Beyond Sausage Pizza and Beyond Sausage Veggie Pizza in Puerto Rico on Monday, both made with a plant-based topping from Beyond Meat Inc. (BYND). Both pizzas will be available for a limited time. Beyond Meat has partnered with a number of fast-food chains, including another Yum Brands name, KFC . Yum Brands stock has tumbled nearly 10% for the year to date. Beyond Meat has soared 74%. And the S&P 500 index  is up 3.7% for 2020 so far. 


  U.S., China Trade Negotiators Set to Meet Amid Diplomacy Friction. Here's a Primer. -- Barrons.com 


  China imposed sanctions on 11 Americans on Monday, including Sens. Marco Rubio and Ted Cruz, the latest tit-for-tat following a spate of measures by the U.S. that have inflamed tensions between the two countries. 


  The moves make for a difficult backdrop as trade negotiators are expected to meet next weekend to review the phase one trade deal signed early this year. What emerges from that meeting could potentially awaken markets to the growing U.S.-China risk. So far, they have been relatively nonplussed. Global stocks, including China's CSI 300, were up on Monday. 


  FUTURES MARKETS 


  Hogs Close at Nearly 2-Month High -- Market Talk 


  15:31 ET - Lean hog futures on the CME finish trading up 5.6%, to 53.825 cents per pound. It's the highest level hog futures have closed at since June 15--nearly 2 months. "Pork prices continue to advance in a period of higher production," says RJO Futures, noting that prices are gaining despite US pork production being up nearly 10% versus the same time last year--suggesting that lower retail prices have been stimulating consumer demand. Live cattle futures also finished higher, rising 0.7% to $1.0715 per pound. (kirk.maltais@wsj.com; @kirkmaltais) 


   CASH MARKETS 

 
Estimated U.S. Pork Packer Margin Index - Aug 10 
 
Source: USDA, based on Wall Street Journal calculations 
All figures are on a per-head basis. 
 
Date     Standard Margin       Estimated margin 
         Operating Index         at vertically - 
                             integrated operations 
 
Aug 10       +$ 62.93            +$ 17.42 
Aug  7       +$ 66.54            +$ 20.82 
Aug  6       +$ 61.68            +$ 17.68 
 
 
* Based on Iowa State University's latest estimated cost of production. 
positive number indicates a processing margin above the cost of 
production of the animals. 
 
Beef-O-Meter 
This report compares the USDA's latest beef carcass composite 
values as a percentage of their respective year-ago prices. 
 
                                  Beef 
          For Today              Choice   95.8 
      (Percent of Year-Ago)      Select  100.1 
 
USDA Boxed Beef, Pork Reports 


  Wholesale choice-grade beef prices Monday rose $1.73 per hundred pounds, to $207.20, according to the USDA. Select-grade prices rose $1.18 per hundred pounds, to $193.93. The total load count was 108. Wholesale pork prices fell $1.58, to $69.84 a hundred pounds, based on Omaha, Neb., price quotes.