October 29, 2019
China's egg futures reach three-year high
Egg futures on China's Dalian Commodity Exchange rose to their highest in more than three years on Monday, Reuters reported.
The most-actively traded egg contract increased nearly 4% earlier in the day to 4,925 yuan (US$697.44) a tonne, a record since July 2016.
Egg prices also rose 5.4% last week, their biggest weekly gain in two and a half months.
Analysts attributed the rise to soaring protein prices due to the impact of African swine fever.
"I think it's a play on protein price inflation. All protein prices are going up due to African swine fever, but it's hard to play that directly," said Darin Friedrichs, senior commodity analyst in Asia at brokerage INTL FCStone.
There are no futures contracts in China for pork or swine. "Buying egg futures is the next best thing," Friedrichs said.