Just now, big bang!

According to Xinhuanet, on the morning of July 5, Liu he, member of the political Bureau of the CPC Central Committee, vice premier of the State Council, and Chinese leader of the China-US Comprehensive Economic Dialogue, held a video call with US Treasury Secretary Yellen. The two sides had a pragmatic and frank exchange of views on such issues as the macroeconomic situation and the stability of the global industrial chain supply chain, and the exchanges were constructive.

At the market level, there was also a significant response to this call.The port and shipping plate changed and pulled up, and investment promotion ships rose by more than 9%, while Rizhao Port, Lianyungang Port, Guangzhou Port, China Merchants Port, Nanjing Port and so on rose. The offshore RMB also instantly rose by more than 100 points.

It is worth mentioning that domestic efforts to control inflation are also increasing. According to the National Development and Reform Commission, in view of the recent irrational behaviors such as blindly pressing hurdles and sparing sales in the pig market, the Price Department of the National Development and Reform Commission is studying to launch the release of central pork reserves and guide local governments to link them in a timely manner to form a joint force of regulation and control to prevent pig prices from rising too fast.

Liu he spoke to Yellen on the phone.

According to Xinhuanet, on the morning of July 5, Liu he, member of the political Bureau of the CPC Central Committee, vice premier of the State Council, and Chinese leader of the China-US Comprehensive Economic Dialogue, held a video call with US Treasury Secretary Yellen. The two sides had a pragmatic and frank exchange of views on such issues as the macroeconomic situation and the stability of the global industrial chain supply chain, and the exchanges were constructive.

The two sides believe that the current world economy is facing severe challenges, and it is of great significance to strengthen the communication and coordination of Sino-US macro policies, and jointly maintain the stability of the global industrial chain supply chain, which is beneficial to China and the United States and the world as a whole. The Chinese side has expressed its concern about the lifting of tariffs and sanctions imposed on China by the United States and fair treatment of Chinese enterprises. The two sides agreed to maintain dialogue and communication.

Stimulated by this news, the capital market also has a relatively strong reaction. The port and shipping plate changed and pulled up, and investment promotion ships rose by more than 9%, while Rizhao Port, Lianyungang Port, Guangzhou Port, China Merchants Port, Nanjing Port and so on rose. The offshore RMB also instantly rose by more than 100 points.

President Biden is expected to soon lower some tariffs on Chinese imports, a decision subject to competing policy goals: to tackle inflation and maintain economic pressure on Beijing, the Wall Street Journal reported on Sunday.

Mr. Biden, who has been up in the air in recent weeks, is likely to announce his decision this week, people familiar with the matter said. It could include suspending tariffs on consumer goods such as clothing and school supplies and launching a broad framework to allow importers to apply for tariff exemptions.

Analysts believe that if the supply chain of the global industrial chain is stable and the United States cuts tariffs on China, the global economic situation may be much better and the pressure on macro-control will be much lighter.

The National Development and Reform Commission made a big move.

According to the official account of the National Development and Reform Commission, in view of the recent irrational behaviors such as blindly pressing hurdles and sparing sales in the pig market, the Price Department of the National Development and Reform Commission is studying to start the release of central pork reserves and guide local governments to link them in a timely manner to form a joint force of regulation and control to prevent pig prices from rising too fast.

According to media reports, on July 4, the Price Department of the National Development and Reform Commission organized a meeting of industry associations, some breeding enterprises, and slaughtering enterprises to deeply analyze the supply, demand and price situation of the pig market, study and judge the price trend in the later stage, and study and do a good job in ensuring supply and stabilizing prices in the pig market.

Affected by this, the pork plate as a whole weakened today.

By the close of trading on July 4, the main contract for live pigs in the domestic futures market was 22695 yuan per ton, an increase of 7.71%, a new high in nearly a year. At the same time, four stocks of the top five listed pig companies rose by the daily limit, while the other rose as much as 11.82%.

The data released by Muyuan shares on July 4th also improved. In June 2022, the company's pig sales report showed that in June, Muyuan shares sold 5.279 million live pigs (including 986000 piglets), with a sales revenue of 8.754 billion yuan. Among them, 546000 live pigs were sold to Muyuan Meat Co., Ltd., a wholly-owned subsidiary, and its subsidiaries.

According to the monitoring of the Ministry of Agriculture and villages, the average price of pork in the national agricultural products wholesale market was 25.74 yuan / kg at 14: 00:00 on July 4, up 4.8 percent from last Friday. Combined with Huiyi data, judging from the national Sanyuan pig market price alone, the latest offer on July 4 has risen by about 86% from the stage low on March 21 this year, and the national Sanyuan pig market price has also risen by about 88% from the stage low on March 18 this year.

Analysts believe that pork prices are big in terms of China's CPI composition. If pork prices get out of control, it means that CPI will rise significantly, and the rise in CPI may affect the implementation of monetary policy. At present, the risk of imported inflation still exists, if there are corresponding risks in China, the pressure of macro-control will be very great, which has been reflected in the European and American markets. Logically, if inflation rises, the stock and bond markets will suffer accordingly. Therefore, it is of great significance for the whole economy to control prices such as pork.