Pork prices hit a new high, what warning does it bring to the public?

The price of pork has begun to increase significantly recently. Pork is the main force of meat. Its price has always been a barometer of my country's national economy, reflecting the overall changes in the economy. As an ordinary person, the warning is to make more money to face the rise in prices, otherwise pork will no longer be affordable. As a farmer in the pig industry, you can expand the scale according to the situation; and investors can make appropriate economic adjustments. invest.

In China, a pig has always been a thermometer and barometer of prices and even various economic indicators. Years of practice have proven that changes in pork prices reflect changes in major economic indicators.

Normally speaking, summer is the off-season for meat consumption, and prices have often been low in the past. However, this year, affected by the tightening of the pig source market, pork prices have continued to rise since May. The current round of pork prices remains high, which is a nationwide rise. At present, the average price of pork in the national agricultural product wholesale market is about 22 yuan/kg to 23 yuan/kg. Compared with 18 yuan/kg in early March, it has increased by nearly 30 yuan, setting a new high in three years. People who eat melons are shocked and lament that they can’t eat it. It's time to get pork.

The rising prices of pork and live pigs have brought substantial benefits to the pig industry that has been struggling for three consecutive years. If this situation can continue, then the pig industry will usher in full operation A rare opportunity for a turnaround. Not only that, the rise in pork and live pig prices may indicate the beginning of a weak recovery in the entire macroeconomic trend. For some people, this is a good sign.

What needs to be warned is that the rise in pork prices may indicate that prices are beginning to rise after a period of low consolidation. Pork price accounts for 1/10 of the weight of CPI. The CPI cycle is also called the "pig cycle". The rise in pork prices has always been called the "big brother" of inflation. After prices enter the "pig cycle" of rising prices, the most worrying thing is the return of inflation.

In order to prevent inflation caused by the "pig cycle" of rising prices, the central bank is likely to change its monetary policy. As a result, monetary easing in the second half of the year is unlikely, which will definitely have an impact on the Chinese stock market, and investors need to be mentally prepared for this.