Eggs: Downtrend Underway（Sep 21）

Eggs: Downtrend Underway

Egg Market Analysis: Today, farm-gate quotes across major egg-producing regions were lowered overall. The average price of red eggs stood at CNY 4.98/jin, pink eggs averaged CNY 5.15/jin, and the price gap between red and pink eggs was 0.17. The average price in major producing areas was CNY 5.00/jin, down CNY 0.10/jin from the previous trading day. Pre-holiday stocking is nearly over! Traders are staying cautious and reluctant to stockpile in bulk, essentially "taking only as much as they sell." Origin egg prices have begun to fall, and the market is clearly weakening.

Egg Market Prices:

Egg Market Outlook:

On the supply side, the laying rate has not fully recovered and the sale of spent hens for meat has increased, while newly matured laying hens continue to come into production, leaving the supply structure with mixed bullish and bearish factors.

On the demand side, concentrated pre-holiday stocking has pulled forward part of subsequent demand; post-holiday sales turnover has clearly slowed, and end-user purchasing has failed to keep up.

Overall, bearish sentiment continues to build. Operators at all stages have turned conservative, mostly working off existing inventories with limited willingness to buy actively, and overall trading performance remains mediocre. With sales turnover slowing, inventories are gradually accumulating and supply-demand pressure is rising. Egg prices tomorrow are expected to be mixed — some steady, some lower — with the short-term trend likely to remain weak.

Egg Futures: On September 21, the main egg futures contract 2611 on the Dalian Commodity Exchange (DCE) opened at 3,857, reached a high of 3,864 and a low of 3,813, and settled at 3,836, up 36 points or 0.94%. Volume was 329,094 lots and open interest stood at 295,806 lots.

Egg Index Analysis: According to calculations by Lenglianduoduo, the domestic egg spot price index stood at 5.099 on September 21, down 0.065 from the previous business day.