Yuwen Wen doesn't know much about futures trading and is only familiar with nouns, so he is not very optimistic about futures trading. However, the futures exchanges that were born with real demand with the development of the economy have become stronger.

As time goes by, many areas with developed industrial and commercial industries and their main commercial ports have successively appeared in many futures exchanges operated under the supervision of the government, including Chang'an.

Grain, wood, raw silk, medicinal materials, tea, cotton, sugar, fragrant medicine, fur, etc. are all futures on futures exchanges in various places. A large number of merchants conduct futures trading, selling goods or speculating on futures exchanges.

For serious dealers, it is worth it even if they suffer a slight loss, because they can sell the goods in their hands in advance through futures exchanges, or pre-order the goods in advance, and the income (purchase, shipment) is expected to be visible.

This is very important because when doing business, you are afraid that there will be no market price, the buyer is afraid that he will be able to buy goods by shouting high prices, and the seller is afraid that he will not be able to take off the goods in his hand even if he shouting low prices.

When doing business, I am most afraid of the poor turnover of funds due to the retention of goods. Therefore, even if I suffer a little loss and have relatively sufficient funds in my hand, it is actually very cost-effective.

Therefore, futures exchanges are a good trading place for serious dealers (large demand), and for speculators, this is a huge casino full of countless opportunities.

To put it bluntly, it is to make a difference by making predictions. The so-called prediction has a lot to do with personal eyesight, experience, knowledge, and level of knowledge. As long as the operation is done properly, the strategy is right and making a lot of money is not a problem.

In this way, there is no need for merchants to run around. They just need to sit leisurely in the futures exchange to blow "air conditioning" and "heating", or sit at home to "strategize" and make a lot of money easily.

With such temptation, how can we prevent all speculators from getting ready to move?

With the emergence of several Grand Canals and steamships, transportation has become more and more convenient, the scale of maritime trade has become larger and larger, the economy of Zhou State has become faster and faster, and the trading volume of futures exchanges in various places has also continued to grow.

The criticism caused by this is increasing.

Bureaucrats don’t like merchants at all, and futures trading, which is a trading method with strong speculation, stimulates the hearts of bureaucrats all the time.

Merchants seek profit and get rich by buying low and selling high has been considered immoral since ancient times. The nature of futures trading on this basis seems even more "bad" to many "knowledgeable people".

Not to mention getting rich overnight, just saying that losing all over the bank overnight has led to many speculative losers committing suicide. "People with insight" believe that futures exchanges and casinos are similar to those of casinos, which are the source of evil that corrupts social atmosphere, and the court should not support futures trading.

It is even more important to set up a futures exchange to withdraw taxes and fees. If this is the case, will the court still open a gambling shop to attract the people to gamble and then collect taxes and fees from it?

In other words, knowledgeable people believe that futures trading is a change of name for gambling. If the imperial court allows futures trading to become popular, it will only ruin the social atmosphere.

Yuwen Wen believes that futures trading does have the components of gambling, but it does not mean that this is pure gambling, because futures trading is about analysis and prediction, rather than purely competing for luck.

The knowledgeable people of this era lacked economics knowledge and could not understand or correctly distinguish the difference between futures trading and gambling. Yu Wenwen was too lazy to talk nonsense and published a book directly.

On the Difference between Futures Trading and Gambling

This book was compiled by Yuwen Wen and "business talents" convened by Yuwen. There are 20 volumes in total. It not only introduces the operating procedures and principles of futures trading, but also gives examples to illustrate: analyzes many types of futures trading cases (some successes and failures), and explains to readers the difference between futures trading and gambling.

And this set of books is also an introductory book for futures trading.

Now, Yuwen Wen saw Chen Xiao eager to try it out and asked, "Have you seen that set of "On the Differences between Futures Trading and Gambling"?"

Chen Xiao nodded: "I've seen it."

"Can you understand?"

“Uh….. Understand some…”

"Tell me, what do you have?"

Yuwen Wen's question made Chen Zhou quite embarrassed. She had read the set of "On the Differences between Futures Trading and Gambling", but she really couldn't understand it very much.

I only know that if I can accurately predict the price of a futures in a few months, I can make a profit from it.

To put it bluntly, she does not operate specific industries, does not purchase goods and engages in production, and makes profits by shipping. She simply wants to speculate and make the difference.

The money earned is transferred to your mother's family to make your mother's family live a better life.

Seeing that this person was stammering and couldn't explain clearly for a long time, Yuwen Wen understood seven or eight points in his heart, and did not say it out loud, so he asked Chen if he had borrowed money now when he was trading futures.

Chen Meng replied: "No, I just use my own savings."

"You don't invest all your savings."

"I know..."

Yuwen Wen asked again: "What kind of futures are you interested in?"

Seeing that his husband did not ask, Chen breathed a sigh of relief and replied: "It's a pig."

"Life pig?" Yuwen Wen was stunned when he heard this, "What's the point of stir-frying this thing?"

"Oh, I can't say that..." Chen Meng began to explain to Yuwen Wen the reason for "frying live pigs".

Pigs are full of treasures, pork, pig internal organs can be eaten, pig bones can be ground into powder, bone porcelain can be fired, pig bristles can be made into various brushes, lard can be used as soap, and can also be used to extract glycerin, and then nitroglycerin.

It can be said that pigs are not only the source of meat, but also the source of raw materials for many industries. Therefore, the market demand for live pigs continues to expand, and the number and scale of pig farms in various places continues to increase.

In Huangzhou, which is famous for pig farming, its exchange uses live pigs as futures and conducts futures trading. The price of live pigs will be relatively stable. However, because swine fever often breaks out in pig farms, the price of live pigs will fluctuate greatly due to a swine fever at any time.

Yuwen Wen suddenly interrupted: "Swine fever, you just said the word "plague" and there is no taboo!"

Chen Xiao quickly admitted his mistake: "Ah, it's my mistake, it's a pig epidemic, a pig epidemic..."

Then he continued: "Big farms, whether they are raising pigs, chickens, or ducks, because they are all raised in captivity or cages, it is easy to break out...... Epidemic disease, once it occurs, it will be a large area of ​​death, and even the pigs, chickens, and ducks in the entire farm will die, so..."

"So, as long as there is a turbulence, the price of live pigs will be easily affected. Now it is the season of frequent epidemics and pigs are about to be slaughtered, so there are many variables. The price of live pigs in futures exchanges fluctuates greatly."

"Not long ago, an epidemic broke out in a farm in Huangzhou. Although the epidemic was not serious, after the news spread, the price of live pigs in the futures exchange rose instantly, and it rose for several consecutive days. If there was another epidemic, it might have to rise..."

"However, because the new veterinary drugs are put into use, some people believe that the possibility of large-scale outbreaks in pig farms is relatively small, so when the pigs are slaughtered this year, the price will inevitably be similar to last year..."

"The two views are mixed together, causing the futures prices of live pigs to fluctuate continuously..." Speaking of this, Chen Yao's eyes were shining, "I think this is an opportunity."

Of course, Yu Wenwen knew that the new veterinary drug mentioned by Chen Xi was a compromise product in the development of penicillin: the medicine given to people has poor efficacy, so first use livestock and poultry for experiments.

The efficacy of this veterinary drug was indeed not very good at the beginning. It was more metaphysical than science.

But now, after countless improvements, the efficacy of the medicine is different.

Thinking of this, Yuwen Wen decided to reveal some inside information: "That veterinary medicine, I heard that the medicine is effective."

"Where is it? The previous veterinary medicine also said that the medicine is effective, what's the result?" Chen Xiao retorted with a verbal rebuttal, "As a result, pig epidemic broke out in many pig farms in Chang'an last year, and veterinary medicine could not suppress it."

"I think there is a high chance of a pig epidemic in Huangzhou this year, and the exchange is also bullish on pig prices, so the price of pigs will inevitably be at a high level..."

Seeing that his beloved concubine was so confident, Yuwen Wen couldn't help but complain: "High position? Don't lose all your money!" At that time, he owed a lot of debts and was desperate. Could he have to pay it back with his own life?

However, no one had the courage to let the emperor's concubine pay off his debts, so although Yuwen Wen complained inwardly, he did not intend to stop the other party: Sometimes, people will have to suffer so that they will be more clear-headed.
Chapter completed!