The Operation Of The Textile Industry Affects The Zheng Cotton Market.

Overnight, although the negative impact of the external market is still there, ICE futures started to adjust after continuing to decline. The strength of both sides was similar, and the main contract in December rose 7 points.

At present, the fundamentals of the market haven't changed much. Investors hope to find the direction from the US cotton export report released by USDA tonight.

Since May, the period cotton has dropped by 19%, so it is very likely that the textile mills will break the contract.

News, recent

The export of yarn was strong, and its export volume reached 58 thousand and 500 tons in April, an increase of 67% over the same period last year, the biggest increase in 27 months.

According to analysis, the main reason for the revival of Pakistan's export is the continued decline in the rupee exchange rate and the decline in the average export unit price.

The rupee exchange rate fell.

There is no need to say more about exports. With the sharp fall in international cotton prices, the average export price of Pakistan in April was the biggest decline in history, and the yarn export situation was better.

On the 31 day, the quotations of China's main ports of imported cotton fell to varying degrees, including 1.75 cents in the US cotton, Australia cotton and India cotton, and 0.75 cents in West Africa cotton.

As the market fundamentals have not changed much, cotton continues to look for directions from the surrounding market.

With the deterioration of the European debt crisis, commodity prices have generally declined, and the cotton market is hard to get away with.

The market will face adjustment after overtaking, and the US cotton export data released by USDA tomorrow night will verify the demand of textile mills in low cotton prices.

On the 31 day, domestic cotton spot prices continued to fall, the difference between domestic and foreign cotton prices remained high, the sale of real estate cotton was deserted, and the textile enterprises in the mainland had a small demand for Xinjiang cotton, but cotton merchants did not have strong willingness to ship.

At present, textile production capacity is overabundant, gauze is unsalable, mobile capital is occupied by finished goods inventory, and the situation of producing more than sales is pressure for enterprises, and it is hard to improve in the short term.

Spot quotation, May 31st.

C/A cotton quotation is 87.60 (cents / pound), discount general trade port delivery price 14642 yuan / ton (calculated by sliding tax), Australia cotton quotation is 91.60, discount general trade port delivery price 15273 yuan / ton; Uzbekistan cotton quotation is 93.10, discount general trade port delivery price 15505 yuan / ton; West Africa cotton price is 88.60, discount general trade port delivery price 14092 yuan / ton; India cotton quotation is 84.10, discount general trade port delivery price 14092 yuan / ton.

National cotton price A index 20085 yuan / ton, down 31 yuan; B index 18937 yuan, down 32 yuan.

Market analysis overnight

The economic risks continue to ferment, the trend of cotton in the United States is weak, and the domestic cotton prices have continued to decline after the state has issued quotas for imported cotton and the influx of cheap textile raw materials.

Zheng Mian's average line is arranged in a short way, and the pressure on the upper gap should not be underestimated.