Chapter 687 Sugar Franc is online

Chapter 688 Sugar Franc Online

All sugar traders, even speculators who had not done sugar business before, immediately swarmed in like sharks smelling blood.

Soon, the first contract was posted by an exchange employee on the wooden signboard three people high on the west side of the exchange hall.

It was a sugar contract that expired in a month, with a price of 1 franc and 8 sous per pound.

According to the regulations of the exchange, the "trading unit" of sugar is 10,000 pounds. In other words, this contract means that the buyer can get 10,000 pounds of spot sugar at a price of 18,000 francs in a month.

Since the Dutch had created futures trading to sell tulips a long time ago, and there were many small-scale futures markets in the UK and the Netherlands, people were still very familiar with futures trading.

So, all the merchants present immediately widened their eyes.

After the French currency reform, 1 franc was equal to 10 sous. So the price of 1 franc and 8 sous is nearly 30% higher than the current sugar market!

However, a middle-aged man with small eyes and a felt hat immediately walked to the trading counter, pointed at the contract of 1 franc and 8 sous, and said in unfamiliar French that he wanted to buy it.

The crowd around him immediately exclaimed:

"This price is a joke!"

"Is he crazy? Sugarcane has only increased by 40% in the past six months. He thinks it will increase by 28% in a month?!"

"Oh, this poor man, he will lose everything..."

Then, the second contract was put up.

Before the man with small eyes could propose a transaction, the old man who had been waiting at the counter next to him quickly ate it.

The third one was put up.

It was eaten in seconds.

The fourth one was eaten in seconds.

The fifth one was eaten in seconds...

The merchants in the hall began to fall into shock.

Could it be that with a 28% premium, he couldn't get any sugar?

Finally, the middle-aged man with small eyes desperately grabbed the eighth contract. The contract price had risen to 1 franc, 8 sous and 1 denier.

He collected the contract with satisfaction and squeezed out of the crowd.

A young man with blue eyes and a wide nose came over and bowed to him, saying in Dutch:

"Mr. Van Shaik, long time no see. Are you in Paris too?"

Van Shaik smiled and returned the greeting:

"Nice to meet you, Mr. Weigel. This is the future of all sugar merchants, so I naturally have to come."

Weigel glanced at the newly posted contract that was sold out in seconds, leaned closer and whispered:

"To be honest, I think the price is too high, why do you..."

Van Shaik hesitated for a moment, pulled him behind the stone pillars in the hall, and said in a lower voice:

"The plantations in the Caribbean are all destroyed. It's hard for you to buy sugar from anywhere else except here."

Weigel shook his head and said:

"The Caribbean is just a reduction in production, it shouldn't be that serious, right?"

Van Shaik looked around and said:

"You probably don't know the order report of the London Company in the UK last week?"

The London Company is the British company responsible for Caribbean trade.

Every year before the sugarcane matures, the trading company will go to the place of production to investigate the market and determine the purchase price. And these news can't be hidden from people with channels.

"I really haven't heard of this."

"I can tell you that it's only 35% of last year's purchase volume. And most plantation owners said they might not be able to deliver."

Weigel's face changed immediately.

He didn't expect the sugarcane harvest to be so serious.

"What about Egypt?"

"It is said that all of them were ordered in advance at a high price by a mysterious buyer."

Weigel was shocked: "In other words, we can only buy French beet sugar in the future?!"

The French beet sugar production was widely publicized a few months ago. After all, it is impossible to conceal the source for large-scale sales.

Van Shaike spread his hands: "It is very likely that this is the case. If I were not short of funds, I would definitely buy more contracts today. I estimate that sugar will rise to 2 francs per pound in a month."

Weigel hurriedly looked up at the wooden board showing the contract, and saw that the price of the latest contract had risen to 1 franc 8 sous 2 deniers.

It turned out that I thought others were suckers, but in fact others laughed at me for not knowing how to pick up money!

He hurriedly said goodbye to Van Shaik and squeezed towards the trading counter.

The trading hall soon became like a battlefield, with shouts and curses, and some people even fought to grab orders.

Weigel finally grabbed a contract despite having his clothes torn and a heavy punch on his face.

He excitedly put the contract in his pocket and was about to continue to grab it when he suddenly heard someone shouting behind him:

"Latest news! The Dutch government announced that it officially recognized the Republic of Saint-Domingo!"

The crowd was quiet for a moment, and the next moment, they rushed to the trading counter with a more crazy posture. No one even looked at the price, just buy it if there is an order!

It is obvious that the Saint-Domingo Parliament should have implemented a ban on the sale of sugar cane. Only countries that recognize its government can buy sugar cane.

And in order to buy sugar, the Dutch government bowed directly to the black rebels!

In fact, for the Netherlands, Saint-Domingo is a French colony, and recognizing its independence is also recognized. After all, the relationship between France and the Netherlands is average now, and the French expeditionary force has lost twice there.

But right now, the British army is fighting the black government there. What the Netherlands did was equivalent to selling out the British allies.

But now whoever can buy sugar cane can make huge profits.

So allies and the like can be ignored for the time being.

The new contract was posted, and the price was 2 francs per pound!

Almost at the same time, several counters on the west side of the exchange were squeezed down, and the traders sitting in the back were injured and screamed heartbreakingly...

"There was a bloody incident at the exchange? 27 people were seriously injured?" Before Joseph returned to the Palace of Versailles, he received a report from the Director of the Police Bureau, Besancon, in the carriage.

The latter nodded nervously: "Yes, Your Highness, there are more than 60 people who were slightly injured. It was all because of my improper handling..."

After asking about the specific situation, Joseph simply reprimanded him a few words and asked him to deal with the aftermath with the people of the exchange as soon as possible. After all, he had seen before that the police force of the exchange was not weak.

After Besancon left, Joseph narrowed his eyes and said to himself:

"I didn't expect the Dutch to be so greedy. I haven't recognized the black government yet, and they got ahead of me.

"But it's good this way. With such a commotion, sugar cane will be more popular.

"Let's just implement that plan ahead of time."

The next day.

The Paris Agricultural Futures Exchange reopened after suspending trading due to a group fight.

As the crowd poured into the hall, they saw that the number of police had more than doubled, and then they saw the director of the exchange standing on the newly repaired counter and said loudly:

"From now on, in order to facilitate settlement, those who buy contracts in francs will have priority trading rights!"

People were stunned.

According to the current popularity of trading, what is priority trading?

People without priority rights simply cannot buy contracts!