Hua'an**: Imported grains** are sufficient, and the arrival of corn in Hong Kong remains high; The first RRR cut in the year landed Monetary policy space for stable growth is sufficient.
1. The number of interest rate cuts by the Federal Reserve will be less than market expectations 2, the phosphate and copper mining wings of Jinchengxin multi-project are flying together 3, the first RRR cut in the year is implemented, and the monetary policy space for stable growth is sufficient 4, and the high-quality development of Ningxia's modern wolfberry industry is accelerated 5, the instability in Myanmar and the difficulty of sugarcane harvest cause sugar factories to stop work 6, and the import of grains is sufficient, and the arrival of corn in Hong Kong remains high.
The Fed will cut interest rates less often than the market expects.
Marco Kolanovic, chief strategist at JPMorgan Chase, recently said: "If there are no major surprises, we think the Fed's easing will be more dovish this year than the market has priced in." He also underscored Powell's view that the decline in core goods** that will start to drive a slowdown in inflation in the second half of 2023 is "unlikely to last." He said the January PMI report showed longer delivery times and European core commodities*** which indicated that the shift in commodity deflation was continuing. JPMorgan strategists such as Klanovic recommended adjusting their overweight to Treasuries in their January report as the market's enthusiasm for the central bank's early and aggressive interest rate action waned. Kolanovic also said that the new high concentration has intensified the competition between the index and the active. (Xinhua Finance).
Jin Chengxin multi-project phosphate and copper mining wings fly together.
In terms of phosphate mining, Jin Chengxin's Liangchahe phosphate mine south mining area has been put into production, and it is planned to produce 150,000 tons of ore in 2023. At the same time, the construction of the North Mining Area has also begun, which marks an important breakthrough in the field of phosphate mining. Phosphate rock is an important mineral resource, widely used in agriculture, chemical and other industries, and the market demand continues to grow. With the Liangchahe phosphate mining area in full production, Jin Chengxin will further consolidate its position in the phosphate rock market and bring rich returns to investors. In terms of copper mining, Jin Chengxin's Dikulushi Copper Mine and Lonshi Copper Project in the DRC are also worth paying attention to. Although the DRC has entered the rainy season, the Dikulushi copper mine still plans to produce about 8,000 tonnes of copper concentrate contained copper (equivalent) in 2023 and plans to sell about 10,000 tonnes of copper contained copper (equivalent) in copper concentrate. In addition, the Lonshi copper mine is expected to start production in the third quarter of 2023 and is scheduled to complete the ramp-up phase in 2024. The copper market also has broad development prospects, with the recovery of the global economy and the development of the new energy industry, the demand for copper will continue to grow. Jin Chengxin's layout in the copper mining field will bring considerable revenue and growth opportunities to Jincheng. The steady progress made by Jin Chengxin in a number of projects not only demonstrates the company's strength and experience in the field of mineral resource development, but also shows the company's deep understanding and strategic layout of domestic and foreign markets. (Mining Rights Resource Network).
The first RRR cut in the year landed Monetary policy space for stable growth is sufficient.
On the eve of the Spring Festival, the central bank sent "trillions" of good news to the market. Since February 5, the central bank has cut the reserve requirement ratio by 05 percentage points, providing long-term liquidity to the market of about 1 trillion yuan, kicking off the prelude to the monetary policy in 2024. After this reduction, the weighted average reserve ratio of financial institutions is about 70%。On the same day, the central bank also launched a 14-day reverse repurchase operation of 100 billion yuan in the form of interest rate bidding, and the winning interest rate was 195%, the same as before. In addition, monetary policy is also expected to form a synergy with the previous policy to further promote the economic recovery. **The Economic Work Conference emphasized that it is necessary to enhance the consistency of macro policy orientation, strengthen policy coordination, and ensure that efforts are made in the same direction and form a joint force. Previously, the Ministry of Finance issued an additional 1 trillion yuan of treasury bonds, most of which will be reflected in 2024, and the central bank has also added 500 billion yuan of net new mortgage supplementary loans (PSL) to support affordable housing, the construction of "peacetime and emergency" public infrastructure, and the transformation of urban villages. Recently, the Ministry of Finance also said that it will continue to arrange a certain scale of local special bonds, appropriately increase the scale of investment in the budget, and give full play to the amplification effect of investment. Analysts believe that the follow-up central bank will also further create a suitable liquidity environment for a series of policies to stabilize demand and growth. (Economic Information Daily).
Accelerate the high-quality development of Ningxia's modern wolfberry industry.
Accelerate the high-quality development of Ningxia's modern wolfberry industry. Adhere to stabilizing the base, increasing production and increasing efficiency, strive to build brand clusters, consolidate the achievements of the construction of "three national platforms" and "four quality and safety systems", and coordinate the promotion of "six major projects". We should do a good job in the scientific and technological innovation of "two leaves" of wolfberry black tea, and promote mutual recognition of test results with the Hong Kong Standards and Testing Center (STC). By the end of 2024, the new wolfberry planting area will be 10,000 mu, the fresh fruit output will be 360,000 tons, and the fresh fruit processing conversion rate will reach 36%. (Business Club).
Instability in Myanmar Sugar mills due to difficult sugarcane harvesting have led to the shutdown of sugar mills.
According to Myanmar's Golden Phoenix newspaper, the Myanmar Sugar and Sugar Cane Products Manufacturers Association recently said that most of the sugar factories in northern Shan State and Sagaing Province, where the fighting took place, have not yet been put into operation, and locally grown sugar cane cannot be harvested. The sugarcane crushing season in Myanmar usually starts in November and December each year, but now due to regional instability, farmers are unable to travel to the planting sites to cut the sugarcane until the sugarcane harvesting season is over. Sugarcane crops are mainly grown in Sagaing Province, eastern Bago Province, southern and northern Shan State, and 23 sugar mills across the country produce about 400,000 tonnes of sugar per year. In addition, there are more than 6,000 sugarcane farmers in Sagaing Province, where the fighting is taking place, and the annual production of sugarcane is about 1.2 million tons. Ahead of this year's sugarcane crushing season, the purchase of sugarcane has been increased due to the domestic sugar price in Myanmar**, with factories paying up to 110,000 kyats per tonne of sugarcane at the current rate. It is reported that at present, the sugar produced in Myanmar is only exported to Vietnam. (Yunnan Sugar Network).
Imported grains** are sufficient, and the arrival of corn remains high.
The snowfall in some parts of the country has affected transportation and logistics, and the pace of corn production in the producing areas has slowed down, and the market volume may decline, which has a certain supporting effect on corn. At present, the enthusiasm of the first business to build a library is low, feed enterprises and deep processing enterprises are limited, and the market purchase and sales are relatively light. In addition, the import of grain is sufficient, the import arrival volume remains high, and the import cost is suppressed by the global corn abundance, which has an impact on domestic corn. At this stage, the overall corn is still in a loose supply and demand pattern, and the market outlook focuses on the progress of grain sales, the arrival of imported grains and the demand of terminals. (Sina Finance).
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