Why is corn futures weak?
In the final analysis, the annual increase in corn production, the continuous decline in oil prices, and the sharp decline in biofuels simply cannot digest so much corn in the corn market. With the adjustment and reform of the purchasing and storage policy, the price of corn has remained low in the past two years, and farmers have no "protective price" for planting corn, which is bound to be greatly adjusted. The cancellation of the temporary storage purchase policy, which has been implemented for 8 years, is mainly due to the high policy grain inventory in the national treasury. This year, the total turnover of temporary storage corn auction is about 57.4 million tons. According to rough calculation, at present, the temporary storage of corn stocks is reduced to 654.38+78 million tons. Judging from the closing auction since 5438+00 in mid-June, the transaction rate and closing price have been raised to varying degrees. Mainly due to the price advantage of temporary storage corn compared with the new season corn and the stocking demand of enterprises in June 5438+ 10, grain-using enterprises will seize the opportunity to grab temporary storage corn to replenish their stocks. Despite the policy support and the speculation of reducing production, this year's corn price trend was judged as optimistic. However, the corn stock of nearly 654.38+800 million tons is still a mountain in the corn market, which will limit the rise of corn prices.