When I woke up, the European and American markets collapsed again! The COVID-19 epidemic continues to spread around the world, and the number of new confirmed cases in many countries has increased significantly. California declared a state of emergency, and the U.S. Senate passed an $8.3 billion emergency spending bill to fight the epidemic. U.S. stocks suffered another heavy setback, with the Dow Jones Industrial Average closing down nearly a thousand points and European stocks falling across the board.
OPEC production cuts failed to reverse the decline in oil prices. On the evening of March 5, OPEC issued a statement stating that in order to cope with the sharp drop in demand caused by the spread of the global epidemic, OPEC agreed to reduce production by 1.5 million barrels per day in the second quarter. In addition, OPEC pointed out in the statement that global oil demand growth in 2020 is expected to be 480,000 barrels per day, halved from the 990,000 barrels per day forecast in February. The next OPEC meeting will be held on June 9, 2020.
Imported US beans can apply for new tariff exemptions. Recently, several soybean traders have applied for tariff exemptions on U.S. soybeans through relevant channels, such as the Chinese Customs Online System, and some soybean traders are already eligible to ship soybeans from the United States in the next 12 months. According to some soybean traders, after the application is approved, imported U.S. soybeans will no longer be subject to quota restrictions. Traders can choose to apply for March or April 2020 as the scheduled procurement month for the Chinese customs system.
As of early morning closing this morning, the US S&P 500 index fell 3.39%, the European Stoxx50 index fell 1.53%, the US dollar index fell 0.79%, WTI crude oil fell 2.52%, and Brent crude oil fell 2.68 %, London copper fell 0.42%, gold rose 2.15%, U.S. soybeans fell 1.12%, U.S. soybean meal fell 1.46%, U.S. soybean oil fell 1.38%, U.S. sugar fell 0.07%, U.S. cotton rose 0.54%, CRB index fell 1.40%, BDI The index rose 6.60%, and the offshore yuan CNH fell 0.30% to 6.9430.
Another death case occurred on the “Princess” in the United States, California entered a state of emergency, and the U.S. stock market plummeted and the Dow Jones Industrial Average fell nearly Thousand Points
Following the COVID-19 collective infection incident on the “Diamond Princess” cruise ship, another “Princess” of Carnival Cruise Line has been infected! Thousands of people on the cruise ship may have been exposed to the coronavirus.
On March 4, local time, California Governor Newsom stated that the first death case of the new coronavirus in California had just left the Grand Princess cruise ship. Get on and off the boat. There are currently confirmed cases of the new coronavirus in both southern and northern California. Therefore, under this situation, California needs to declare a state of emergency in advance. The purpose is to help California prepare and control the spread of the coronavirus and allow state government agencies to purchase more easily. equipment and services, share patient information, and reduce restrictions on the use of state-owned properties and facilities.
On the afternoon of March 5, local time, New York State Governor Cuomo held a press conference, saying that multiple new coronavirus infections were confirmed in New York that day. The total number of confirmed cases in New York State has now reached Reached 22 cases.
The National Economic Situation Survey Report released by the U.S. Federal Reserve Board on the 4th showed that although the overall U.S. economy is expanding moderately, the COVID-19 epidemic has had a negative impact on the U.S. tourism, manufacturing and other industries. The negative impacts are gradually emerging.
This report is compiled based on the latest survey results of its 12 regional reserve banks, also known as the “Beige Book”. The report shows that compared with the release of the last “Beige Book” in January, the impact of the COVID-19 epidemic on various industries in the United States has gradually emerged. There are signs that the epidemic has had a negative impact on the tourism industry. Some manufacturing producers are worried that supply chains may be further disrupted by the epidemic in the coming weeks.
Affected by this news, market panic increased. U.S. stocks closed sharply lower, with all three major stock indexes falling more than 3%, and the Dow Jones Industrial Average closing down nearly a thousand points.
The adviser to the Iranian Speaker died of COVID-19, and a total of 3,858 cases of COVID-19 were diagnosed in Italy
According to news from Iran’s Tasnim News Agency on the 5th, Hossein Sheikholeslam, international affairs adviser to the Iranian Speaker, died of COVID-19.
At 18:00 local time on March 5, Angelo Borrelli, head of the Italian Civil Protection Department and commissioner of the New Coronavirus Emergency Committee, said at a regular epidemic press conference There are 3,296 cases of pneumonia caused by the new coronavirus in Italy, an increase of 590 from the previous day; 148 deaths, an increase of 41 from the previous day; and 414 cured cases, an increase of 138 from the previous day. The country currently has a total of 3,858 confirmed cases of COVID-19.
On the 5th, the Valle d’Aosta region in northwestern Italy reported two cases for the first time, which also marked that all 20 regions in the country had new coronavirus cases. Confirmed cases. On the same day, Italian Prime Minister Conte announced that the government would allocate 7.5 billion euros to support the country’s families and businesses in coping with emergencies caused by the epidemic.
OPEC agrees to cut production by 1.5 million barrels per day in the second quarter
On the evening of March 5, OPEC issued a statement stating that in order to respond to the sharp demand caused by the spread of the global epidemic,Those who are ready to buy the bottom will be scared in seconds. Unexpectedly, the trend quietly reversed. Shi Lihong, senior analyst of agricultural products at CITIC Futures, said that something happened last Sunday, which paved the way for the rebound in palm oil futures prices this week. On February 24, Malaysian Prime Minister Mahathir suddenly announced his resignation. After the chaos, Bersatu Chairman Muhyiddin Yassin was officially sworn in at the National Palace on the morning of March 1. “The new official took office with three things in mind” and the new leadership team quickly brought a new atmosphere.
In September 2019, Mahathir criticized India’s policy towards Kashmir at the United Nations General Assembly. Relations between Malaysia and India began to deteriorate. Indian importers temporarily suspended Malaysian palm oil purchases, making Malaysian palm oil less attractive to India. Exports have declined significantly. After the relationship between Malaysia and India eased slightly, Mahathir did not seem to have any intention of introspection. In early January this year, he criticized India’s Citizenship Law. This time, the official imposed strict restrictions on the import of domestic refined palm oil. The official restrictions first suppressed the sentiment of palm oil, which was booming in mid-January, and then fell sharply, and then suppressed the market through the sluggish export performance.
Due to India’s delay There is no return to procurement. In order to meet the import profit needs of other countries, the FOB quotation in recent months has dropped from nearly 800 US dollars in mid-January to below 600 US dollars. In order to save the dire straits of the palm industry, Malaysia’s new leadership team is eager to repair it after taking office. In relations with India, the situation seems to have improved. On September 4, 2019, India imposed a 180-day 5% safeguard tariff on Malaysian refined palm oil. Recently, the investigation agency DGTR under the Indian Ministry of Commerce stated that it does not recommend Further extension of the safeguard tariff is seen as a signal of restorative progress in Malaysia-India relations. In addition, India has recently begun to purchase palm oil, which is reported to include a certain amount of horse palm, causing the market to begin to generate demand for its replenishment and Ramadan stocking. Looking forward to it.
Shi Lihong told reporters that although SEA raised the oil channel inventory from November to December last year by more than 400,000 tons in the February vegetable oil import report, the revised figure at the end of January The inventory rose to 1.735 million tons, which once suppressed the bullish sentiment on the market, because the market had expected that India, whose inventory was about to bottom out, would start the “buy, buy, buy” mode in February. However, judging from the absolute inventory number, the inventory is at The low since 2016/2017 is 18% lower than the 5-year average for the same period. India will enter Ramadan on April 24, 2020. According to practice, oils and fats will be stocked more than a month in advance (that is, mid-to-late March) . Against the background that India’s oil and fat stocks are at a low level in the same period of previous years this year, it is expected that the demand for replenishment will be relatively strong, and the timing of replenishment may also be slightly advanced.
“In India In anticipation of Ramadan demand, market sentiment has begun to improve. Of course, this is also assisted by the increase in procurement from China, Bangladesh and Africa. However, in the context of the global epidemic that may impact demand, the quotations of origins have increased along with the transactions. Whether the current purchasing enthusiasm can be sustained still requires attention. We continue to track the quotations, transactions and periodic export data of Malaysia and Indonesia. ” Shi Lihong said that as the early bad news was gradually digested with the sharp drop in prices, the marginal benefits began to drive the market to rebound from oversold conditions. In recent days, more funds have begun to ask whether they can buy the bottom, and the market has risen strongly, which seems to be a sign of rushing away. Although The current Ramadan stocking speculation is growing, but there is still some time before large-scale stocking.</p
