◂ Event Timeline

May 11, 2021TRADEChina

China makes another large purchase of US corn

The USDA reported that China bought 3.06 million tonnes of U.S. corn for delivery in 2021-22 across three transactions on May 7, 10 and 11. China also canceled 280,000 tonnes of 2020-21 corn purchases.

WHY IT MATTERS

Forward buying for the new crop year supports deferred U.S. corn prices, though cancellations show some volatility in Chinese demand.

AFFECTSCorn▲

SOURCE
world-grain.comJay SjervenMay 11, 2021

Price reaction & history

Corn▲bullishSO FAR1d +0.9%5d -7.7%20d -2.5%

After 729 past bullish trade events, Corn moved a median +0.4% over 5 sessions (56% higher; middle half -1.1% to +1.8%), and +0.5% over 20.

Mar 23, 2020China purchases US grain | 2020-03-23 | World Grain-0.8%
Mar 24, 2020China makes largest U.S. grain purchases since start of trade war - UPI.com+6.1%
Jun 20, 2021China Makes Large U.S. Soy Purchase, While Granting Domestic Subsidies to Its Grain Farmers-3.3%
Jul 14, 2020China Makes Record U.S. Corn Purchase | Farm Policy News | Illinois-1.1%
Aug 2, 2020China Makes (Another) Record U.S. Corn Purchase in July, But Achieving Phase One Targets May Still be a Stretch | Farm Policy News | Illinois-1.4%

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.

Corn CORN · GP ▸

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