CME Group on Prop 12

This is Corryn LaRue with California Ag. Today we are at the National Association of Farm Broadcasting Convention in Kansas City. I'm sitting with Makenzie Billings from CME Group. Makenzie, how are you doing today?

“I'm wonderful. Thank you.”

Makenzie, Prop 12 has been a huge topic of conversation in the last year or so. What are things looking like on your end?

“Absolutely. So we, we definitely are seeing impacts of, of, of Prop 12 on the market. Um, I think, you know, as things start to roll out, you're definitely going to see probably even more impact on the marketplace, but it's not just prop 12 either, right? Especially on the hog market. You're, you're also looking at what's happening globally, what the import and export market is doing right now. And, uh, you've also got the Chinese who are, you know, a large consumer of US pork and they're trying to rebuild their hog herd, so their own domestic hog herd.

So you definitely have got a lot of things that are, that are coming forward at this market and, and definitely going to make things more volatile in, in the coming years. Um, so we're, we're seeing folks turn to these markets to, to manage that risk and, and to ensure that they, they're going to continue to have operations moving forward.”