Eggs: Clearance sale! A step that must be completed before the holidays!
Egg Market Analysis
Today, egg prices in most major producing regions have fallen, with prices remaining stable in a few areas. The average price in the main producing regions is 3.59 yuan/jin, a decrease of 0.07 yuan/jin compared to the previous working day. The average price for red eggs is 3.6 yuan/jin, and the average price for pink eggs is 3.47 yuan/jin, with a price difference of 0.13 yuan/jin. Overall, the egg market is showing a weak trend, with more stable regions. Market sales are sluggish, with fewer new laying hens and fewer culled hens, resulting in slow capacity reduction. Inventories in both the production and distribution links have increased slightly. Food processing companies have largely completed their stocking, and early promotions by some e-commerce platforms have also depleted some consumer demand.
Egg market price
Egg market forecast
From the supply side, the short-term focus remains on inventory. Capacity reduction before the Lunar New Year has been almost negligible, and the overall market supply remains abundant. Therefore, the priority is to clear inventory as quickly as possible in the limited time before the holiday, accelerating market circulation to create room for the post-holiday market.
From the demand side, the key factors that typically support prices are rapidly fading, and some e-commerce platforms' previous promotional activities have already depleted some consumer demand. Therefore, in the short term, we expect a situation of ample supply and a temporary slowdown in demand.
Overall, with the Lunar New Year approaching and limited trading time remaining, all parties will prioritize clearing inventory and recovering funds, leaving little impetus for price rebounds.
Egg futures price trends
On February 4th, the main contract 2603 of egg futures on the Dalian Commodity Exchange (DCE) opened at 2942, reached a high of 2955, a low of 2942, and settled at 2947, down -17 or 0.57%. The trading volume was 119,418 lots, and the open interest was 179,934 lots.
Egg Index Analysis
According to data from Lenglianduo, the domestic spot egg price index on February 4th was 3.509, a decrease of 0.066 compared to the previous trading day, a decrease of 1.846%.
