Eggs: Unable to Rise, Unable to Fall Deeply(Nov 3)

Eggs: Unable to Rise, Unable to Fall Deeply

Egg Market Analysis

Today, egg price quotes in main production areas were primarily stable. The average red egg price was 4.22 yuan/jin, and the average pink egg price was 4.22 yuan/jin, with the red-pink price spread remaining flat. The main production area average price was 4.22 yuan/jin, stable compared to the previous trading day. Currently, weather conditions have improved and temperatures have declined, laying rates are gradually recovering, and with newly opening hens increasing, supply-side pressure persists. However, the market is in the off-season for consumption, with food factories and supermarkets lacking concentrated restocking momentum. Demand support is limited, and both supply and demand lack significant drivers. Today's market was overall stable with minor local adjustments.

Egg Market Price

Egg Market Outlook

Supply Side

As temperatures decline, laying rates are seasonally recovering, and with newly opening hens continuously supplementing supply, the supply release intensity is further amplifying. Recently, egg prices have been continuously probing upward, and culling sentiment among breeders has slightly weakened. Some enterprises are adopting a wait-and-see attitude toward extended rearing, and the culling pace has slowed.

Demand Side

After the double holidays, consumption entered the traditional off-season, and traders' procurement pace once slowed. However, as temperatures decline and storage conditions improve, the procurement sentiment of traders and food processing enterprises has somewhat recovered. The pace of taking goods has improved compared to earlier periods, and the willingness to restock at low prices has strengthened, providing phased favorable support for egg prices.

Overall Assessment

Overall, the current egg market's loose supply-demand pattern continues. On the supply side, laying rates are seasonally recovering, newly opening hens are continuously supplementing, and supply release intensity is increasing. On the demand side, despite the traditional off-season, the procurement sentiment of traders and food factories has somewhat recovered, but restocking is primarily at low prices with limited sustained pulling power. Egg prices have bottom support but lack upward momentum. In the short term, prices may maintain stable, narrow-range adjustments.

Egg Futures Trend

On November 3, the Dalian Commodity Exchange (DCE) egg futures main contract 2612 opened at 3,572, with a high of 3,592, a low of 3,507, and a settlement price of 3,550, up 16/0.45%. Trading volume was 685,055 lots, with open interest at 214,120 lots.

Egg Index Analysis

According to Cold Chain TDD data calculations, on November 3, the domestic egg spot price index was 4.22, up 0.004 compared to the previous working day.