Soybeans Drop in Chicago as China Poised to Release Stockpiles

China is releasing 500 million tonnes of soybeans to their people. Is this preperation for war???

www.bloomberg.com

July 21 (Bloomberg) -- Soybean futures in Chicago declined on speculation that crushers in China, the world’s biggest importer, may slow overseas purchases as the government releases local stockpiles for sale into the domestic market.

China will auction 500,000 metric tons of soybeans on July 23, the state-backed China National Grain and Oils Information Center said yesterday. The sale is meant to ensure local supplies are adequate and to stabilize prices, the center said in a separate report July 17.

“That’s one of the main reasons” soybean prices fell, Jonathan Barratt, managi

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[edit on Tue, 21 Jul 2009 19:37:13 -0500 by MemoryShock]

I really believe they are sending all this food into the countryside so that it doesn't make a good target in war. Also if your infrastructure is shot how would you get the food anywhere anyway. You can't stabilize soybean prices for growers in China by dumping 500 tonnes of soybeans on the market now can you. They are going to war soon in my opinion.

www.bloomberg.com
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China has been purchasing massive quantities of commodities on world markets for nearly a year. They make the purchases with US$, as the US$ is sure to devalue in the future. It is a wise move...try to get something of value now for currency that is sure to be worth less (worthless?) shortly.

Perhaps they have purchased a massive quantity of soybeans in US$ and, as soybeans have a shelf-life, figure it is better to offload them on the citizenry than to let them rot. Very progressive of them...and very capitalist to auction them off in an attempt to recoup some of what they have invested.

China never does anything without a self-serving purpose, and unlike the US, they don't pass mega-billion dollar legislation without reading it or knowing what they just voted for.

I don't think they did this preparing for war.

By not buying from the US, they economically hurt US farmers more than they are already hurting.

At times, I wish the whole damned thing could crash down and put us out of our misery, instead of slowly, and methodically being shredded by Obama, Russia, and China.

so this is happening anywhere from today till the 23? wheres that timewave guy at? im interested to see if this has anything to do with the timeline? awsome thread

You MUST use the actual title of the article when posting to this forum.

The sale is meant to ensure local supplies are adequate and to stabilize prices, the center said in a separate report July 17.

500 million tons of soybeans is just a drop in the barrel that is China. It will be used up so quickly, you would be amazed.

Remember they have livestock to take care of as well. And soy can be used in tons of other products as well.

Rather than this indicating a war, this is actually indicating that the Chinese are expecting a very harsh winter and are getting prepared way ahead of time.

Remember the story of the Grasshopper and the Ant? Who made it through the winter and why?

Maybe their trying to raise capital, to buy more dollar backed assets to help stabilize the US, because they are heavily investing in US>

“The reserves are so big because China needs to keep the exchange rate stable for its exports. Therefore, they have to keep buying dollar assets.”

www.bloomberg.com...

I made a calculation about the number of calories in all this food they've been storing. Not just soybeans, but it was a third. It's enough to feed 1.3 billion people for 3 months. Or a 3 million man army forever.

Originally posted by carolina1737
They are going to war soon in my opinion.

How exciting! Who with?

Oh and their population is 1,300,000,000 and just the soybeans they are holding is 500 million tons or 500,000,000 tons. How much is a ton of soybeans. 1 metric ton of soybeans is 2202 pounds. So even dividing that by three(which is conservative, its 734 pounds of soybeans per person. I guess as one poster said they are looking for a long winter. 3 pounds a day alone will keep a person alive. Its enough to keep a person alive for 244 days at 734 lbs per person. Thats only soybeans folks at a whopping 2100 calories The average Chinese individual needs much less to survive!!!
They have MORE corn, wheat, and to a lesser extent rapeseed. So maybe they have enough food for every man woman and child for 1-2 years. Thats not counting what they already have in the system!! How much food is on your shelf?