March 2

3/2 - The coronavirus outbreak has sparked a huge sell-off in commodity prices. Raw materials sensitive to shifts in global growth have been the hardest hit with crude oil is at the top of the list. West Texas Intermediate (the U.S. benchmark) fell 16.15% last week to close at $44.76/barrel on Friday - the lowest price in over a year and the biggest weekly decline since Dec 2008. Crude futures are down 29.3% since the virus was first announced by China in early Jan. Analysts fear that a big slowdown in Chinese economic growth will likely infect the rest of the world’s economies. In agricultural futures, livestock prices have taken the biggest hit, with cattle ($112.70/cwt) down 11.5% and hogs ($62.28/cwt) off 9.3%. The likely consumer reaction, should the virus spread in the U.S., will be initial panic buying at retail followed by sharp sales declines in both retail and foodservice.