Shares of pork-related companies are leading gains in Hong Kong trading. As of the latest report, DEKON AGR (02419) advanced 5.87% to HK$54.10, COFCO JOYCOME (01610) rose 5% to HK$1.155, and MUYUAN (02714) climbed 4.08% to HK$34.68.

On the news front, China's domestic hog market continues its strong upward momentum, with the latest average price reaching RMB 10.86 per kilogram, up 4.22% week-on-week. Hog prices in several regions, including Hubei, Jiangxi, and Beijing, have broken through the RMB 11 per kilogram threshold.

According to a research note from SDIC Securities, the low-price zones of Sichuan and Chongqing are leading the gains, with recent price firming in those areas potentially signaling that supply pressures in the region have eased notably.

Great Wall Securities points out that the current hog price rebound is primarily a bottoming-out recovery. On the supply side, slaughter weights remain elevated and frozen inventory levels are still high year-on-year, while demand has yet to show a genuine recovery—suggesting that fundamental reversal signals are not yet conclusive. However, narrowing losses on a sequential basis indicate that sector valuations are sitting in a bottom range. The brokerage recommends focusing on leading hog producers with cost advantages and stable cash flows, as well as positioning for cyclical turnaround opportunities as capacity consolidation deepens.