
China cut the targeted bank reserve requirement ratio, injecting about $79 billion of liquidity into the economy. The move is part of Beijing's effort to cushion the economic blow of the coronavirus outbreak amid job loss worries, with more stimulus expected.
Liquidity injection supports Chinese industrial and livestock demand over time, which is supportive for feed ingredients and meal prices, though the effect on near-term prices is moderate.
After 318 past bullish policy events, Corn moved a median -0.1% over 5 sessions (48% higher; middle half -1.4% to +1.5%), and -0.2% over 20.
After 172 past bullish policy events, Soybean Meal moved a median +0.0% over 5 sessions (50% higher; middle half -1.5% to +1.7%), and -0.8% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.