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calling for the delivery of corn at some future date refused 

 to sell, knowing that the freezing order was only temporary 

 and any price change would have to be upward. Future prices 

 in all markets rose to the ceilings, and trading ceased. Those 

 who wished to sell actual corn found themselves unable to 

 buy back their future contracts. If they sold the actual corn, 

 they practically guaranteed themselves a loss, since the tem- 

 porary ceilings would probably be lifted and they would 

 have to buy back their future contracts at a high price. The 

 result was that corn was frozen in the elevators. 



Meanwhile the trade clamored for corn and bid prices of 

 the lower grades up to the ceilings, so that inferior grades 

 sold for the same prices as the better grades. Out on the 

 farms of the Corn Belt corn was sold to other farmers or to 

 truckers at whatever price might be agreed upon. Corn be- 

 gan to by-pass the regular markets, and orders were given 

 to limit the amount of corn involved in such trades. 



The trade expected that with the expiration of the tem- 

 porary order, higher prices would be permitted and corn 

 would begin to move. But the price regulators had other 

 ideas. The cash prices of the inferior grades were lowered, 

 and the May, July, and September future prices were raised 

 1, 3, and 5 cents, respectively. It was hoped that this would 

 loosen corn and start it to move. Some corn changed hands, 

 but future contracts soon rose to the new ceilings, and trad- 

 ing again ceased. Later the May and July futures were raised 

 further, which loosened up some corn. Market supplies of 

 corn were so short that, by the middle of June 1943, corn 

 refinery plants were in danger of being forced to shut down. 

 Later the industry was requested to restrict production to 85 

 per cent of normal. Corn refiners produce starches, syrups, 

 sugars, and many other products which are used for food 

 purposes and for war and civilian industries. Since the corn 

 refiners use only about four per cent of the crop, they have 



