I have to say that what corn feared the most still happened.
What's up?
When it was time to rise, it suddenly became a dumb fire, not only a dumb fire, but also a U-turn and a fall.
What has it become?
The spot market is Northeast and Shandong, and the price continues to invert, while the futures market is even worse, hitting new lows in a row, and the entire corn market is like a deflated ball.
Who hasn't seen corn fall?
It's been more than half a year, but the problem is that the time of the fall is wrong.
What time is it?
It is the so-called green and yellow of traditional corn that is not connected, and the supply is cut off, that is, when the surplus corn grain bottoms out and the price of corn is about to rise.
Many people were optimistic about this time before, and they all wanted to empty their inventory.
But as a result, corn not only did not rise, but fell endlessly.
What's even worse is that at this time, COFCO announced the suspension of deep processing in many places, which is undoubtedly worse.
In this way, the market is superimposed on emotions, and the corn must be in an uproar.
But why is corn falling so badly?
One of the strange ones is that it has fallen immeasurably.
No matter how much Shandong corn fell before, there was an iron law that could not be broken, that is, as long as the amount did not rise for two days, the company would definitely raise the price and collect grain.
But this time it failed, no matter if you go up or down, it's still the same.
The second thing is that the good news is one after another, but the corn just turns a blind eye.
In the past, if there was any news, the market would definitely fluctuate, regardless of whether the news was true or not, anyway, with the fragility of the corn market, it would not be unresponsive.
But this time it really came to Ren Er's east, west, north and south winds, and it just didn't change its downward trend.
For example, a few days ago, there were heavy rains in many places, extreme weather was frequent, and the wind of corn yield reduction was not unblew, but it seemed that the thunder was heavy and the rain was small for a long time, and it did not set off any big wind and waves.
For another example, the news about the cessation of the auction of Chen rice has also flown recently, and it is said that the auction of Chen rice has been stopped, which is good for corn, but when you look at the market, it is still indifferent.
In other words, no matter what news you are, you should not be able to see it anyway, and it is still a fall.
Third, is the demand really weak?
This is weak depending on who it is compared with, compared with the momentum of the previous two years, it must be weak, but in terms of normalcy, the demand for corn cannot be said to be weak.
For example, the performance of deep processing this year is remarkable, it is unreasonable to say that people are weak, and as the hot weather gradually passes, the operating rate of deep processing has begun to gradually improve.
Speaking of feed demand, pig prices have risen, the pressure of the bar, the supplement of the bar, the production capacity has rebounded again, but why has not the corn risen?
The previous analysis was because there were too many substitutions, such as imported corn, such as imported sorghum, and then old rice and wheat, all of which came to grab the feed market for corn.
But now Chen Rice may be about to stop filming, and the corn has fallen into this bear-like, and the cost performance is already the best of the best, who can still grab the corn job?
But even so, corn is still falling.
So, why is the corn falling endlessly?
I think it might have something to do with two things:
The first is emotion.
This sentiment is not just the current sentiment, but also the sentiment that has been brewing in the market since last year's corn harvest.
What is the mood brewing in the market?
On the one hand, they are still immersed in the past bull market and think that corn will turn over; On the other hand, even if it will not rise as sharply as in previous years, there is nothing wrong with a small rise.
But emotions are the most uncontrollable, sometimes a few simple things may make the mood reverse instantly, and when bullish, nine bulls may not be able to pull back, but in the same way, the bearish is as difficult to recover as an arrow from the string.
That's exactly what the market is like right now.
Since most of the market's hopes were pinned on corn, which is the most likely period of greenery, and once things don't go as expected, the mood will immediately reverse.
The second is related to supply.
It is precisely because of the previous emotions that the treasure was bet on the green and yellow of the corn, so the circulation of corn in the early stage was not fast, and everyone was holding on to it, and they all wanted to wait for a turnaround.
But when the market was not as expected, everyone began to rush to make a move again, and the corn turned from a fragrant dumpling in the arms to a hot potato.
If you throw it at me, if you throw it at me, if I throw it at him, can the corn not fall?
So the corn also fell into this dejected appearance.
Some people ask if corn can still go up?
It's hard to say about emotions, but in the short term, there is really no good news or good events that can be reversed, so again, this year's green and yellow failure may disappoint many people.
There is no hope for a big rise, so we can only hope that the decline can gradually ease and end with a small tail.
End of this article, thanks for reading! Feel free to like it and give it a support.