2011 Do Crazy Cotton Continue? The Butterfly Effect Drives The Rally.

Cotton, as a staple of textile raw materials, occupies an important proportion and status.

Viscose as a substitute for cotton, PTA as a cotton textile raw material identity, from the above we can see that in 2010 cotton prices trend and viscose staple fiber, PTA roughly the same.

It shows that behind the crazily cotton prices, the trend of the whole textile industry chain is driven.

2010

In 2009, affected by the financial crisis, the textile industry was struggling.

As can be seen from the above picture, cotton prices started in March. As the economy rebounded, the operating rate of enterprises increased, demand rebounded and supply and demand tightened.

At the same time, with the rise of international cotton prices and the rapid rise of domestic cotton prices, after September, due to the delay in new cotton market, and the rise in prices of bulk agricultural products and the promotion of market speculation, cotton spot prices rose sharply, hitting a record high, and a large number of idle funds were hyped up. High prices caused many enterprises to wait and see. Under the circumstances, at the end of October, seven departments of the national development and Reform Commission issued a notice to control cotton prices.

Cotton prices rose more than 4000 yuan / ton over the next ten days due to speculation in hot money, and in December, domestic cotton prices stabilized and rebounded.

Cotton prices rebounded in December following the sharp rise and fall in November.

US cotton continued to rebound to a new high, but domestic cotton prices were subject to domestic policy regulation, and the decline of the downstream cotton yarn market, the rally was very gentle, prices were basically stable, and buying and selling were slack.

2011 is madness sustainable?

With the increase in demand and the increase in demand, the global cotton production is expected to increase in the future.

Cotton prices started to rise again.

While cotton is strong, the price of textile raw materials, such as PTA and viscose, also enters the rising channel.

Recently, Pakistan has said: "2011 will be Pakistan's local".