Sep 23, 2019

Beef prices tumble as America's tastes shift toward chicken

A butcher arranges meat products. Photo: Spencer Platt/Getty Images

Chicken is starting to become Americans' favorite meat and beef looks to be be paying the price, per Bloomberg.

Why it matters: While there’s normally a decrease in demand of beef around this time at the end of grilling season, the declines this year are far more drastic than usual and beef prices are tumbling.

By the numbers: Wholesale-beef prices, a proxy for short-term demand, have fallen 10% from a peak in August, and an indicator for burgers has tumbled about 35%.

  • The U.S. Department of Agriculture this month cut its outlook for beef consumption and now projects that demand for beef will stay stagnant from last year.

Of note: Darden Restaurants Inc., the operator of Olive Garden and Longhorn Steakhouse, said beef inflation has been cutting into profit margins during its first quarter.

Go deeper: Popeyes' chicken sandwich and the future of fast food

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U.S. wholesale prices hit 3-year low

Data: Investing.com; Chart: Axios Visuals

September's producer price index reading was significantly weaker than forecast. The index of wholesale goods and services came in well below expectations on both month-over-month and year-over-year metrics.

By the numbers: The overall headline reading fell to its lowest level in 3 years, while the core figure, which strips out volatile food and energy prices, reached its lowest level in 2 years.

Go deeperArrowOct 9, 2019

Americans are tiring of TV dramas

Data: Parrot Analytics; Note: Values may not add to 100% due to rounding; Chart: Andrew Witherspoon/Axios

Of the 10 regions surveyed as a part of Parrot Analytics' second quarter 2019 global streaming demand study, demand for dramas is by far the lowest in the U.S.

Why it matters: It's a clear shift from the beginning of the "Golden Age of TV" when shows like "Mad Men," "Breaking Bad," "The Good Wife," "House of Cards", and "Dexter" were so dominant.

Go deeperArrowOct 8, 2019

New drugs are launching with ever-higher prices

Illustration: Eniola Odetunde/Axios

The average launch prices for new brand-name drugs have skyrocketed over the past decade, according to an analysis from drug research firm 46brooklyn.

Why it matters: The U.S. prescription drug market increasingly has thrived on high initial price tags and subsequent increases. That has resulted in higher premiums and out-of-pocket costs for new drugs, as well as more expensive generics.

Go deeperArrowOct 16, 2019