The story behind the drop in corn prices is extremely intense

Mondo Three rural Updated on 2024-01-30

The story behind the corn ***: the tearing is extremely intense.

Introduction. Due to the large release of new grains, there has been a significant decline in cereals**. Although the ** of corn will decline in the old and new seasons, this round of decline is still a bit special. In addition to the technical decline, there is also a strategic price reduction. This includes a change in the company's strategy, as well as a response to market expectations. This paper analyzes the factors of corn *** from multiple angles, and analyzes its impact on corn *** and its future trend.

Technical decline and justification.

In the old and new seasons, the massive increase in supply caused a decline in the first grade, which is a technical reason. Usually, when the new grain is ripe, a large number of ** will appear on the market, which will reduce the ** of the grain. At the same time, due to the impact of the purchase of new grain, the old corn will gradually move closer to the direction of the purchase of new grain, which will cause the price of grain to fall. This is very common.

However, in addition to technical reasons, this time the price reduction is also related to the market's strategy. Enterprises have seized the opportunity of increasing supply and shifted their business focus to new varieties, hoping to improve profitability through the way of "volume increase and decrease". Such strategic price cuts imply that the company wants to change its previous negative status and become the dominant player in the market. However, more research and evaluation is needed on whether this approach works.

Consideration of strategic price reductions.

Strategically, declining grains aren't just a problem with aged corn. There are deeper considerations and expectations in this. First of all, the old corn is already in the ** area, which is not good for the purchase of new varieties. According to the trend of previous years, 15 yuan a kilogram is already the limit, and the possibility of going up again is very small. Therefore, the price reduction of old corn is not only beneficial to the purchase of new grain, but also reserves room for future price increases.

Second, there are very few grain stocks in all routes. If the ** continues to remain high, corporate mergers and acquisitions will be limited. Moreover, with the launch of new varieties, the audience of the market will also increase, which is not good for cereals**. In order to alleviate the pressure on the market, some grain holders have adopted the practice of "breaking the can" to stimulate the purchase of new corn. This wave of stockpiling strategy can slowly run out of inventory, just in time for the Northeast market.

Grain merchant psychology and grain market trend.

However, although some farmers have the need to sell their grain and their mentality has fluctuated, it has not completely collapsed. This is due to the fact that in the past two years, the first fluctuation of corn is relatively large, and it has also encountered a relatively large turmoil, just like in the case of no change in this year's output, the rhythm of market transactions has become an important factor in determining the first corn market.

At present, the market's supply is different, coupled with the postponement of harvesting in the northeast, so that the old corn has some **. And judging from the current situation, there is still hope for corn production in the northeast. Although there is a certain adverse impact on corn at present, considering the influence of all parties, coupled with the acquisition of new varieties by enterprises, the possibility of new grain listing is still relatively large.

In short, the future direction of the corn market, in addition to production, will depend on the speed of market transactions. In fast-paced times, house prices go up;If the economy slows, house prices will fall. So, those who can master this pace will benefit from the chaos.

Brief summary. The article examines the factors that cause the rise in corn prices and the strategic considerations behind them. In addition to the decline in technology, companies have seized the opportunity of increasing supply and repositioned their strategic focus to increase volume and decline profitably. However, the direction of the grain market is not just about production, but also about the speed of trade. In the future, whoever can catch such a pace will have the opportunity to profit from the volatility.

At an individual level, it makes sense to recognize and recognize the complexities and uncertainties in the market. Analyzing the reasons for the decline in corn futures prices, in addition to technical reasons, more important is the strategic thinking and market momentum behind it. Only by comprehensively considering the impact of all aspects, can we better cope with the changes and seize the opportunity to make profits.

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