Cotton Storage Market Is Expected To Decline Pressure On The Recent Cotton Market Is Difficult To Understand

China

China grain reserves pointed out that the demand for textile mill procurement continued to be sluggish, and the management situation of the cotton mill was very difficult, and the price of pure cotton yarn continued to decline. Although Zhengzhou's PTA continued to grow, the polyester staple fiber was still on the rise.

China reserve cotton said that domestic cotton production capacity has been shrinking since April, while spinning production capacity is still growing. Yarn sales have been hindered continuously, and the finished product inventory of spinning enterprises has been increasing.

Since March, cotton imports have continued to shrink significantly, to a certain extent, reflecting the shrinking demand for textile cotton.

Buyers of the lint market are dominant, and spot business confidence has been battered. Some enterprises are forced to sell cotton under low pressure owing to the pressure of repayment.

Chu Chu cotton pointed out that in July 15th, 32 cotton combed yarn

At the same time, China Chu cotton pointed out that the escalation of the euro zone sovereign debt crisis affected the US dollar index, and New York cotton futures prices fell sharply, and the demand for spot market was insufficient, and the international cotton prices fell sharply.

In July 15th, the international cotton index (M), representing the average price of the main port of China in the import cotton, was calculated at 1% tariffs. The cost of the import of RMB was 24903 yuan / ton, 6.5% lower than the previous week, a 3.6 percentage point increase from the previous week. According to the sliding tax, the import cost of RMB 25230 yuan / ton decreased by 6.3%, a decrease of 3.5 percentage points from the previous week.

China's cotton reserves said that from a fundamental point of view, because of the setback in textile demand, it is difficult for the international cotton price to shake off the fate of the weak adjustment in the short term.

The US Department of agriculture's July report on the supply and demand of agricultural products raised the annual global cotton production by 59 thousand tons to 24 million 942 thousand tons, and the consumption volume dropped 126 thousand tons to 25 million 24 thousand tons, raising the end of the stock from 252 thousand tons to 9 million 667 thousand tons, and the inventory consumption ratio increased 1.2 percentage points to 38.6%, indicating that the global supply and demand environment is easing towards the end of the year.

China cotton reserve also said that although the United States part of the cotton area rare drought increased the rate of abandoned farmland to 30% of the highest level, the annual cotton production from the original expected 3 million 700 thousand tons to 3 million 480 thousand tons, but it is still nearly four years of high level, new cotton production is lower than expected or difficult to boost consumption is obviously weak market.

China Cotton store last week released the annual cotton output forecast for the year. As long as the weather is normal, the output of new cotton will reach 93.06 kg / mu, 9.29% higher than that of last year. According to the national cotton market monitoring system, in May the actual area of 79 million 417 thousand and 100 Mu is estimated, the total output of cotton is expected to be 7 million 390 thousand and 200 tons, an increase of 18.61% over the previous year.