The party awoke the next day. Dreg, the worg, returned from scouting with a large Hippogriff egg in his mouth. Venturing onwards, they were caught in a swarm of moths and had to endure several effects of fey magic. Three of the party members got turned tiny for the remainder of the day.
The party found a small home to a tiny stone golem; they traded several magical items with it before moving on to a glade where they were beset by a horde of fey badgers summoned by a mysterious magical construct.