Grain sales before the holiday have decreased, and the market will go after the holiday.
Preface. As the Chinese New Year approaches, corn is showing a trend. Due to the small amount of grain during the Spring Festival, coupled with the small amount of hoarding of enterprises, the price of corn futures rebounded slightly, and after the holiday, the performance of the market has also attracted people's attention. The article gives a brief overview of China's grain market in January, and at the same time makes a brief summary of the development prospects of China's grain market. The author expects that through the in-depth analysis of the product, it can give consumers a forward-looking marketing concept.
The imbalance between supply and demand led to the January cereals***
1.1 Original description: In January, due to the increase in the sales enthusiasm of farmers at the bottom, the supply increased, and the terminal enterprises continued to suppress the demand, resulting in an imbalance between supply and demand in the corn market, which continued.
1.2 Explanation extension: In January, the food supply in the market increased due to the enthusiasm of the farmers at the bottom to sell grain. However, due to the lack of willingness of middlemen to build a warehouse, the market supply has increased, resulting in downstream grain-using enterprises continuing to reduce procurement, resulting in corn **. In particular, the profits of the major terminal enterprises are not high, and they are more cautious about the market outlook, and the inventory is small, which puts pressure on the corn futures price.
Comparative analysis of grain markets** in various regions.
1. Northeast China: Grain sales accelerated, and grain prices continued to fall.
In the Northeast, grain sales were slower from the beginning of the new crop to the end of January. However, since January, the grain sales situation in rural areas has improved considerably, and has reached the same level as the same period last year. Although feed companies have a certain reserve during the festival, but under the dealer's "sales and purchase" strategy, the sales of dry corn are not ideal, coupled with the price reduction of deep processing enterprises, resulting in the surrounding areas of corn ** continue to decline.
2. North China: The enthusiasm for grain sales is not high, and the grain sales have declined significantly.
In North China, there is a slight difference, because the inventory of dealers is relatively small, the enthusiasm of farmers at the bottom to sell grain is not high, and the number of purchases of feed enterprises is also relatively small, most of which are provided by local deep processing enterprises. Such a dominant situation has led to a significant decline in the grain market in North China.
Analysis of price trends during New Year's Day and Chinese New Year.
1. On the eve of the Spring Festival: prices may be stable, and individual regions may rebound slightly.
Due to the advent of the Spring Festival, the enthusiasm of grassroots units to sell grain has decreased, resulting in a shortage of grain supply, resulting in grain production enterprises in some localities increasing their enthusiasm for purchasing grain one after another, and corn in some places has also increased to a certain extent. Especially in the case of rising procurement costs of agricultural products deep processing enterprises, the price of agricultural products has risen. In the current production and sales season, the market expects that the corn will be stable, but due to the large inventory of downstream enterprises, there will be a certain degree of recovery.
2. After the Spring Festival: Housing prices in various places have rebounded slightly.
As far as the Northeast is concerned, it is expected that the stockpiling of feed companies will make the sun-dried corn ** rise slightly, but due to the rise in temperature and the increase in sales in some places, it is possible that the corn ** will fall. In North China, due to farmers' resistance to low prices and low enthusiasm for sales, the supply fell in February, so that although there is still a certain rebound in corn after the Spring Festival this year, the increase is relatively small. By March, when the storage situation improves, a new selling season is expected, but corn will continue to decline amid a drop in demand.
Conclusion. As the Spring Festival is approaching, various reasons will have a certain impact on corn**. In the near term, due to the limited inventory during the Spring Festival, companies stockpiled goods to a small extent, which pushed up food prices. The trend of the market is determined by the comprehensive effect of the supply side, the demand side and the stockpiling intention of enterprises. In China, the real estate market in China is quite different from the North China market, and the range and trend of housing prices are also different. Affected by seasonal factors, as well as changes in market demand and other factors, it is expected that the corn futures price will still have a certain range in the future. Therefore, as an investor and relevant enterprises, you should always pay attention to the changes, make strategic adjustments in a timely manner, and seize the opportunities and challenges generated by the changes.
Through a deep understanding and detailed analysis, we can better avoid risks and obtain greater benefits. In the process of grain trading in the future, the accurate grasp and utilization of the market has been an important factor in determining whether enterprises can obtain competitive advantages. I wish the corn industry will develop steadily in the future and create more opportunities and income for farmers.