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COVID-19 has not infected poultry but has disrupted China's broiler and egg industries. Movement restrictions and paralyzed supply chains have left large inventories and falling prices, reversing the strong growth expected after African swine fever boosted chicken demand.
Oversupply of chicken and eggs in China lowers domestic prices and reduces import demand for feed inputs, a bearish signal for feed buyers tied to Chinese poultry demand.
wattagnet.comMark ClementsMar 31, 2020Not enough comparable past events yet for a historical read.
After 175 past bearish disease events, Corn moved a median +0.0% over 5 sessions (51% higher; middle half -1.7% to +1.5%), and +0.6% over 20.
After 167 past bearish disease events, Soybean Meal moved a median -0.6% over 5 sessions (40% higher; middle half -1.8% to +1.4%), and -0.8% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
