"Corn Traders" are entangled in all directions

[ Agricultural Products Network] " Corn Traders" are tangled in all directions! ! ! ! During this period of the previous year, the supply of high-quality corn will enter a stage of rest, which will lead to the staged market, but the price of corn in June this year is still facing a downward pressure.

Domestic corn prices fell overall last week. On June 11, the average domestic corn price was 1773.00 yuan / ton, down 8.00 yuan / ton from last week, a decrease of 0.45%. Southern bud wheat was listed, and some downstream manufacturers began to purchase bud wheat instead of corn. The downstream demand decreased, while the auction volume remained high. The market expects the supply situation to be loose in the later period, and the downstream begins to purchase at a lower price. The corn market atmosphere is empty, Zhuo Chuang expects corn prices to continue to be weak this week, and there is a rebound opportunity in the latter half of the price.

"Corn Traders" are entangled in all directions

“Corn Traders” Face Risk of Corn Outbound

It is estimated that the current auction of grain out of the three provinces in the northeastern provinces accounted for only 32% of the total, that is to say, about 70% of the auction grain has not yet been released, and the pressure of outbound storage continues to accumulate. The digestive capacity of the grain-using enterprises is, after all, sustainable, and it is impossible to receive them in large quantities, which may cause the price of the corn market to continue to be suppressed. As the corn auction at the temporary storage is still in the high-frequency and large-volume market, it is necessary to be alert to the risks brought about by the accelerated pace of Chenliang's outflow in June and July. Traders' confidence in the market outlook is not sufficient.

“Corn Traders” Face Risk of Wheat Harvest

Secondly, the wheat harvest in the Huanghuai production area of ​​North China started from south to north, and some of the merchants were interested in speeding up the sale of corn, returning funds, and preparing for the acquisition of new wheat, and the number of stages increased significantly. Particularly in southern wheat growing areas such as south-central, northern Hubei, Henan and other regions of central and southern Anhui, because of continuous rainfall since the middle of May and severe convective weather, resulting in a large amount of wheat shoots, mildew and other situations, this part of the current wheat The farmers' selling price is only 4, 5 cents a pound, and some feed and alcohol companies have begun to buy wheat instead of corn.

“Corn Traders” Face Risk of Corn Demand

At present, the actual consumption rate of the northeast corn market is relatively fast. One of the time nodes involved is that the subsidy policy for corn processing enterprises in Northeast China will expire on June 30. Processing companies will try to increase the operating rate as much as possible before June 30 to consume more corn raw materials to obtain more subsidies. After all, the subsidy amount of 100-150 yuan / ton is a very large profit margin. Therefore, once it enters July, after the subsidy stimulus is over, the overall consumption rate of the spot market will inevitably show a significant decline. Enterprises will not be interested in purchasing raw grain, and it will be difficult to obtain further support in terms of price.

Imported sorghum and other indirect impacts on market demand.

Although entering the summer, starch sugar will usher in the peak demand season, but for the deep processing enterprises in North China, due to the Shanghe Summit will be held in Qingdao, in June, some enterprises will adopt limited production measures. With increased environmental monitoring efforts, demolition of the pig farm, feed raw grain procurement enterprises are basically used to take with on-demand strategy.

Based on the above factors, in the traditional corn supply period in June, this year's corn spot market may not be able to reproduce the trend of the same period of the previous year.

In the short term, corn prices are still dominated by shocks.

In the short term, the corn price fluctuated in the range of 1850-1950 yuan / ton, the main factor is the impact of the temporary storage corn auction. Every year from June to the end of August is the period when the supply of corn in the market is not up to the peak. The country is bound to seize this opportunity to go to inventory.

At present, there is no exact news that the temporary storage corn auction is coming to an end. According to the market situation in previous years, the country will basically choose to suspend bidding sales at the end of October at the time of listing in the new grain. Therefore, in the short-term, under the background of the destocking of corn in the temporary storage, the domestic domestic corn price will still maintain the fluctuation trend between the communities.

In the hands of farmers or traders who produce corn surplus food in 2017, it is necessary to judge the current market trend more objectively. There is no hard news in the market that the corn auction at the end of the store is over, and the corn in the reserve is still auctioning. The option is to continue to be equal and not to sell. When the price has been falling, it will not be worth the loss.

The "corn trader" is entangled in all directions. . . . . . . . . . . . . . . . . . . . . .