Volatile Egg Prices Prompt Risk Solution From StoneX

Key takeaways

• The shell egg contract gives both producers and buyers a way to navigate price volatility while protecting margins and improving planning confidence
• Designed in direct response to industry demand, this contract reflects StoneX’s focus on real solutions rooted in market needs
• It also offers flexible monthly settlement and forward pricing available up to 12 months out for buyers and producers

Shell egg prices have seen unprecedented swings in recent years, putting pressure on producers, buyers, and food service companies alike. In response, StoneX has launched a new shell egg contract—an initiative grounded in the firm’s century-long agricultural roots and aimed squarely at helping the industry hedge against unpredictable market shifts.

Ryan Turner, Regional Director for Kansas City Ag at StoneX, sees the new offering as a natural reflection of StoneX’s origins. “We just celebrated our 100-year anniversary last year,” Turner notes. “It all started with Saul Stone as an egg broker in Chicago.” Today, the firm operates on a global scale but still emphasizes solutions born out of client need, not corporate theory.

The shell egg contract is built on a widely adopted industry-leading index. It’s designed as a monthly-settled swap contract, enabling both producers and food service companies to lock in prices up to 12 months in advance. Importantly, StoneX offers the contract through its status as a registered swap dealer, allowing for highly customized structures that meet specific client needs.

“This fits really well with our broader food service offering,” says Turner, referencing existing StoneX risk tools for pork, beef, cheese, and even diesel. “It’s just another tool in the toolbox.”

Turner is careful to position the contract not as a speculative product but as a practical margin management solution. For buyers like restaurants, the contract helps align ingredient costs with menu pricing. For producers, it’s a way to secure profits by locking in favorable spreads between input costs and forward egg sales.

What makes this contract especially notable is that it didn’t emerge from internal brainstorming sessions. “StoneX’s best products are always ones that clients ask for,” Turner explains. “This contract was created because the industry asked for it.”

And while extreme events like recent tariff announcements or avian flu outbreaks might spark interest in such tools, Turner emphasizes their long-term value. “These types of catalysts bring new risk tools to the forefront, but they end up becoming lasting solutions.”

Still, the success of the contract will hinge on one key factor: participation. “If everyone waits on the sidelines to see how it performs, it won’t develop,” Turner cautions. “The more market participants we have, the better this tool becomes for everyone.”

For more information, visit StoneX.com or contact Ryan Turner directly at [email protected].

StoneX Expert: Ryan Turner
Written by: Andy Catsimanes

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