Has the turning point of the "pig cycle" reached?

The turning point of the "pig cycle" includes two aspects, one is the price of live pigs, and the other is the investment timing of listed pig companies.

First look at the changes in the price of live pigs

China's pig industry has experienced many cyclical fluctuations, and this cycle is generally about 2 to 3 years

Judging from the national January market trend chart of pigs outside the three yuan of pigs, on October 7 this year, the price of pigs outside the three yuan was 10.

According to data released by the Bureau of Statistics, the price of live pigs was 10.

In the "ten days" announcement by the National Bureau of Statistics of the market price changes of important means of production in the circulation field, the price trend of live pigs is basically the same as that of Zhuyi.

Second, look at the performance and stock price changes of listed pig companies

Of the 31 listed companies in the Flush Pork Concept Sector, 14 lost money in the first three quarters

In response to the rapid decline in the price of live pigs, each listed pig company has made strategic adjustments based on their own conditions, which is mainly reflected in the shrinkage of production capacity

As a major pork consumer, stabilizing the price of live pigs is one of the important tasks of relevant government functional departments

Boosted by measures such as purchasing and storage, the price of live pigs in October has rebounded, and the stock prices of listed pig companies have also reacted

Regarding the emergence of a turning point in the pig cycle, various institutions tend to be confirmed in the first half of 2022, but the nuisance of factors such as the epidemic situation and the price increase of feed raw materials must still be considered during the period