Chen Chen didn't understand the meaning of Zhang Chen's words at all. He couldn't understand or understand...
Zhang Chen is right in saying that the current scale of Yunshan market is not big. This is not big, but it is equivalent to the entire market in China...
Monopolizing the wool pigs in the Yunshan market for a certain month will not actually increase the price of wool pigs. And it must be clear that the Yunshan market is not a futures market. Although you can buy goods a few months or even half a year later, this is not the futures market.
The real futures market…
Even if someone buys out all the contracts for a certain month, if no one takes over when the delivery date comes, then it will enter the spot delivery phase...
As for short selling, the Yunshan market is really not a futures trading market. The daily prices of all commodities are determined by the market and officials based on the general market prices.
Taking June as an example, there were 2 million pigs for sale in the Yunshan market in June, which means that under normal circumstances only 20,000 orders can be issued. Both of these 20,000 contracts can be withdrawn... In actual operation, they can be opened.
Offer 30,000 or even 40,000 contracts or even more contracts. How many contracts can be issued depends on how many empty orders there are...
For short orders, if the position cannot be closed after the delivery date, the consequences will be very serious. Then the position will be forced to be closed, which is probably similar to the futures market, except that there are definitely more bullish contracts in the market than short contracts...
Chen Chen made Zhang Chen confused: "What will happen to the monopoly market contract when the delivery date comes?"
Zhang Chen looked embarrassed. He thought for a while and shook his head. He didn't quite understand the mechanism here yet, so he followed Chen Chen and continued to visit around.
Yunshan Market is just a market, a market for buying and selling live animals. The difference is that you can buy live animals that are 10 months old... Although there is a lot of operating space here, this operating space cannot be carried out in the market.
...If we can judge the trend of live livestock prices in the next few months, we can make huge profits in the Yunshan market.
There is not much room for live animal operations in the Yunshan market in the short term, nor is there any room for operation at all. It is just that the room for operation is relatively small... What we are looking at here is not capital, but the prediction of the future market.
But to enter this market, the threshold is relatively high.
The trading area is relatively deserted. But the market area is very lively. There are many breeding companies asking about the conditions for entry... To enter the market area on the second floor, the first requirement is that it must be a cooperative work with Yunshan Market Company, and there is nothing else.
conditions.
"Hi, Mr. Zhou..." Uncle Chen Mo had just gotten the key to the store in the market area. When he came out, he saw a meat wholesale boss in Shanghai.
"Mr. Chen..." Boss Zhou smiled and quickly handed San Bo a cigarette: "This Yunshan market really has some tricks, I can't even understand them. Mr. Chen, I'm here to purchase a batch of high-quality mutton for June.
It’s the Sheep Festival, can you help me get some advice? There are too few sheep here for sale in June, and I don’t know which company’s mutton is good.”
"Easy to say, easy to say..." San Bo looked around and said, "Wang Xinghua, come here quickly."
"What's the matter? I'm still busy with the opening of the store." Wang Xinghua trotted over and said.
"This is Boss Zhou from Shanghai, here to purchase a batch of high-quality fat sheep. Speaking of fat sheep, doesn't your company have five thousand Dorper sheep?"
"If you order those five thousand Dorper sheep now, they will cost 30 yuan per kilogram. Those that come out in winter are guaranteed to be fat sheep..." Wang Xinghua said.
"Boss Zhou will need the goods next month for the Fuyang Festival."
Wang Xinghua touched his chin: "The average weight of my sheep is about 63 kilograms. They are Dorper sheep and have a high meat yield... If they are sold now, they cost 40 yuan per kilogram."
"So expensive..." Boss Zhou was stunned for a moment.
"The meat yield of 63 kilograms of Dorper sheep can be 60%. If it is less than 40 yuan, it will not be sold..."
There are some sheep ready to leave the building in June, but they are all Boer goats, and none weigh more than 45 kilograms. The meat yield is low, but the price is not cheap...
Boss Zhou just saw the June sheep in the trading area, and the price is really not low.
The price of woolly pigs is based on the real-time market price. But sheep are not...
If the meat yield rate reaches 60%, 40 yuan per kilogram is not bad. Boss Zhou thought for a few seconds: "Can I go over and have a look."
"certainly."
Just as he was about to go out, Chen Chen and his classmates came in: "Third uncle, Mr. Wang."
"well."
"Where are you going, Uncle San?"
"Let's go to Fuxing Company. This is Boss Zhou... This is my nephew, Chen Chen, CEO of Yunshan Breeding Company."
"Hello, Mr. Chen, I have long admired your name, I have admired your name for a long time..." Mr. Zhou smiled and stretched out his hands.
Chen Chen shook hands with him...
"Mr. Chen, are you free at noon? I would like to treat you to lunch." Mr. Zhou added, "I am also planning to purchase 1.2 million fat sheep by the end of the year."
Chen Chen looked at the time and it was almost eleven o'clock: "Okay. Otherwise, let's do it now. There is a nice restaurant on the roof."
Mr. Zhou looked at Uncle Chen Mo and then at Wang Xinghua: "It's not too early now. How about we go upstairs to eat together and go to Fuxing Company later..."
Wang Xinghua nodded, he was also very interested in the purchase of 1.2 million fat sheep...
Wang Xinghua knew that although Yunshan Breeding Farm was large, they seemed unable to provide 1.2 million fat sheep by the end of the year.
…
On the top floor, Chen Mo and Secretary Ye chatted for a long time, also talking about the problems of the Yunshan market. Mainly about the trading methods of the Yunshan market and possible problems...
After chatting for a long time, Secretary Ye and the others were ready to leave. Chen Mo sent them to the elevator. It was great to meet Chen Chen and the others coming upstairs.
"Hey, Boss Zhou?" Chen Mo had a relationship with Boss Zhou. Last winter, he also sold sheep...
"Boss Chen." Mr. Zhou chuckled: "You still remember me."
Chen Mo smiled and reached out to shake his hand...
"Boss Zhou plans to purchase 1.2 million fat sheep by the end of the year." Chen Chen looked at Mr. Zhou, somewhat inquiring.
Chen Mo had a deep impression of this man. Last winter, he was the one who airlifted tens of thousands of live sheep to Shanghai. He was very heroic...
"I'm going to do something big this year." Boss Zhou chuckled and said, "Where is the restaurant here? Let's talk about it while eating."
Chen Mo made an invitation gesture and introduced to Boss Zhou: "This is Bai Xiaoou, the boss of Yunshan Market, CEO."
"Oh..." Boss Zhou was stunned for a moment and looked at Bai Xiaoou: "Hello, Mr. Bai, my surname is Zhou and I am from Shanghai. I run a dozen slaughterhouses and several meat wholesale markets around Shanghai.
"
"Hello, hello..." Bai Xiaoou rolled his eyes at Chen Mo, who is the boss of Yunshan Market? The boss of this market should be Chen Mo...
This thing may not look like much now, but it is foreseeable that it will definitely become China's largest live animal trading market in the future. And it won't take too long...