GF Securities: Textile And Clothing &Nbsp; Internal Cotton Prices Rose Against The Market.

Textile sub sector: the weak peripheral economy makes international

This week, the Shanghai Composite Index fell 1.98%, and the textile and garment sector ran 0.06 percentage points, with the textile and clothing sub sectors falling by 1.59% and 2.22% respectively.

This week, men's clothing companies such as nine herd kings, seven wolves, etc. performed better, and there was a relative return; the dream home textiles and the Luo Lai home textiles had a larger adjustment, while the lowest valuation of fuanna rose 1.17% against the market this week; the higher export Rebecca, the silver cashmere industry and Lu Tai A continued to fall this week.

Raw material price

On Friday, the 328 cotton price index was 19995 yuan / ton, which has exceeded the purchasing and storage price for four consecutive trading days. There was no paction for 11 consecutive days.

The domestic market has gradually entered the peak season of consumption. The purchase and storage of the state made cotton enterprises dare to increase purchases under the purchase and storage price, so lint prices rose 1.30% this week.

Affected by the peripheral vulnerable market, the CotlookA index fell 6.54% and the main contract of Zheng cotton fell by 4.82%.

State purchasing and storage policy is the only reason why the international cotton price has dropped sharply and the price of cotton has increased.

We maintain the previous view that cotton prices have bottomed out, and that the short term (new cotton market) has increased considerably.

Risk warning

Cotton price