Go Up Faster And Fall Faster.

　 By the end of November 22nd, the Zhengzhou Futures Exchange main cotton contract CF1105 closed at 25225 yuan / ton, 25.2% from November 10th's highest price of 33720 yuan / ton.

"I heard that in the early November, the regulatory authorities found a large number of cotton futures traders in Zhengzhou futures exchange to meet and talk to them, asking them to keep the price of cotton stable." A Futures Company cotton analyst told reporters.

What is unexpected is that under the ebb of speculative capital, cotton futures prices can not escape a sharp fall.

"We always have to pay for it," said one cotton buyer. "The price of cotton futures rose sharply, which was triggered by the jump in spot prices. Now it is a big speculation from the price drop that ends the spot price of cotton. Tide "

　　 Tight funds, "sell self help"

"It was unthinkable that the cotton price rose a month ago, when it was really priced and no market and no cotton could be bought at a high price." Liu Jianjun, the head of a cotton spinning enterprise, recalled. However, the buyer's market is quietly becoming a downstream cotton business.

With the cotton futures price falling more than 25%, cotton spot prices synchronously "diving", the reporter learned that, on Monday, the purchase price of lint in parts of Shandong fell by nearly 800 yuan / ton compared with the previous trading day.

"Cotton spot prices are getting lower day by day, and most cotton companies are watching and not rushing to cotton." Liu Jianjun said that even the price of a cotton dealer was 300-400 yuan / ton lower than the spot price of the day, but he still did not plan to copy the bottom.

Liu Miao, a cotton analyst at China Fortune futures bank, seems to worry that the state regulatory authorities will further introduce policies to control cotton prices, which is the main driving force for many cotton traders to reduce cotton stocks.

These cotton traders are more entangled than these psychological expectations, and the supply of cotton spot is quietly increasing.

Since the 7 ministries and commissions of the national development and Reform Commission and the Ministry of agriculture jointly announced in November 8th that "the cotton production area is required to strengthen regulation and control in the cotton field", many responsible persons of the domestic cotton business have revealed that Xinjiang cotton has "entered the customs ahead of schedule".

Meanwhile, the selling tide of imported cotton has also increased rapidly.

"By the end of June this year, the country's 3 million 600 thousand tons of cotton Imported The quota permits have been issued. During the 7-8 months, many domestic cotton importers are hoarding imported cotton to rise. Now cotton prices have dropped sharply, and they can only sell cash. The above cotton business executives told reporters. According to customs data, in the first 10 months of 2010, China imported a total of 2 million 250 thousand tons of cotton, an increase of 88% over the same period last year.

However, quite a few cotton hoarding customers have felt "tight capital chain" and had to step up selling cotton cash.

"Now we want to sell cotton to us, or Capital chain It's a bit tight, or traders who have to buy cotton at a high price have to close their positions quickly. They are basically at the critical point of profit and loss. " Liu Jianjun said. Banks have tightened the lending threshold quietly.

In November 22nd, the CBRC issued an urgent notice requiring banks to increase their support for the production, processing and circulation of credit funds for agricultural products. At the same time, it reminded banks to strengthen control over the use of agricultural credit funds, control the risk of misappropriation of credit funds from the source, and seriously investigate violations of credit funds used for farm products speculation, hoarding and hoarding prices.

"Now cotton prices are going up and down, and banks have to take precautions against the risk of cotton related loans." A state-owned bank credit department disclosed that his bank had asked some enterprises suspected of hoarding behavior to return loans as soon as possible, and strengthened the use of credit funds for some cotton purchasing enterprises with relatively high credit volume, and prevented more credit funds for hoarding.

This undoubtedly shortens the speculative cycle of cotton hoarding. The reporter understands that most Cotton Traders' cotton collecting funds come mainly from bank loans. The specific operation path is that the downstream cotton enterprises first apply for bank loans for cotton harvest, then transfer funds to cotton purchasers; secondly, some cotton purchasing enterprises or traders apply for loans from the bank to apply for letters of credit and fixed assets mortgage loans to purchase cotton.