Eggs: Egg prices rise again! Peak appears again!
Egg Market Analysis
Today, egg prices in major producing areas showed mixed trends, with some remaining stable and others rising. The average price in major producing areas was 4.51 yuan/jin, an increase of 0.1 yuan/jin compared to the previous working day.
The average price for red eggs was 4.5 yuan/jin, and the average price for pink eggs was 4.62 yuan/jin, a price difference of 0.12 yuan/jin. Egg prices generally rose today, with market sentiment mainly characterized by strong fluctuations. This increase was primarily supported by supply and demand fundamentals.
On the one hand, the high summer temperatures affected egg production rates, resulting in relatively low overall market supply pressure. On the other hand, with the Dragon Boat Festival approaching, some food companies and traders had pre-emptive stockpiling needs, leading to normal to fast sales and providing a floor for egg prices.
Egg Market Prices
Egg Market Outlook
From the supply side, based on cyclical calculations, the number of newly laying hens will gradually increase, theoretically alleviating supply shortages. However, the current number of culled older hens is limited, and the high temperatures have led to a general decline in egg production rates. Therefore, the supply recovery is expected to be relatively slow in the short term.
From the demand side, pre-Dragon Boat Festival stockpiling provides strong support for current egg prices. However, concerns are rising, and high egg prices are suppressing end-consumer demand, potentially slowing downstream sales. The rainy season will also continue to have an impact.
Overall, under the combined influence of various factors, egg prices are likely to remain stable with minor adjustments.
Egg Futures Trends
On May 22nd, the Dalian Commodity Exchange (DCE) egg futures main contract 2607 opened at 3966, reached a high of 4022, a low of 3932, and settled at 3975, up 69 points (1.75%). Trading volume was 1,138,966 lots, and open interest was 324,437 lots.
Egg Index Analysis
According to data from Lenglianduoduo, the domestic egg spot price index on May 22nd was 4.584, an increase of 0.097 points (2.162%) compared to the previous working day.
