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    Cotton Prices Are Stabilizing&Nbsp; Textile Enterprises Remain On The Sidelines

    2010/6/3 10:22:00 88

    Cotton Price | Stable

    Recently, the sharp fluctuations in the electronic market and the control expectation of the national policy of "height limit" have put great pressure on the cotton spot market. The rapid rise situation no longer exists, and the cotton price tends to be stable.

    Due to the accelerated import quota and export of Xinjiang cotton, the contradiction between domestic cotton supply and demand has been weakened, and the purchasing attitude of textile enterprises has changed from positive to negative, with a strong wait-and-see mood.


    Spot prices rose slightly in a stable manner, and textile enterprises were generally motivated to purchase cotton. Most textile enterprises had sufficient cotton stocks. Purchase of imported cotton compound with sliding tax quota is about 17000 yuan/ton, which is favored by textile enterprises and is preferred. Some textile enterprises have used up their import quota. Some textile enterprises purchase from futures, and the receiving price is 18050-18100 yuan/ton. Cotton merchants have shipped in succession, but the price is high, and the market transaction is still average.


    The domestic mainstream yarn market price is stable and firm, and the shipment situation is relatively ideal. The 32S knitting mainstream is about 27000-27500 yuan/ton, the 32S combed mainstream is about 30500-31000 yuan/ton, and the 40S high-end mainstream is about 28500-29000 yuan/ton. The sales volume of pure cotton yarn in the market has not changed much, and the inventory of manufacturers is mostly maintained at a relatively low level. Textile enterprises have a high level of industrial inventory, so they are not active in purchasing cotton at present.


    Although there are many adverse factors in the external environment, the tight supply of resources has strongly supported the spot price, and the domestic spot price has obviously stabilized. The sales of cotton enterprises increased, and there was a small margin of profit in actual transactions. Textile enterprises are cautious in purchasing and have a heavy wait-and-see mentality, and the purchasing direction has obviously shifted to the import cotton market.

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