ICE Cotton Futures Continue To Fall, Zheng Cotton Also Encounter Bargain Buying Opportunities

　 today spanaction Strategy:

In October 24th, overnight ICE cotton fell sharply in December. The cotton main 1301 contract remained at a low level after its low opening, finally closing at 19575 yuan / ton, and the whole world fell 0.43%. On the 24 night, ICE cotton futures prices continued to fall to the lowest level. Due to the support of China's policy of purchasing and storage, and the high price of cotton within and outside the United States, the US cotton's drop in space was very limited. On the contrary, every decline in the US cotton purchase would provide a better buy point for our cotton futures. Today, Zheng Mian 1305 bought a bargain in the vicinity of 19300.

Recent important information:

According to the sampling survey conducted by the national cotton market monitoring system, as of October 12th, the average daily use of cotton in the sample survey enterprises was about 34.3 days (including the number of cotton imports to Hong Kong), a decrease of 2.2 days, an increase of 5 days compared with that of the previous three years, an increase of 3.4 days compared with the average level of nearly three years. According to relevant data projections, the national cotton industry inventory of about 754 thousand tons, a decrease of 6.2%, an increase of 16.6% over the previous year, an average inventory reduction of 4.2% over the past three years. Cotton industry stocks in different provinces are different, and Anhui and Shaanxi have relatively large stock of cotton industry.

In the economic situation forum held in October 17th, Wei bridge Spin Company Zhang Hongxia reflects that since the beginning of this year, the demand for textile market has been weakening at home and abroad, and the difference between cotton prices is relatively large. The domestic cotton price is higher than the international market price of about 5000 yuan / ton, and textile enterprises are more difficult. The premier said that the development and Reform Commission has taken some measures to recover the cotton in the hands of farmers, increase the national reserves and liberate part of the imports.

Price and data:

The price of C32S is 25670 yuan / ton (5), and the price of polyester and short is 10650 yuan / ton (-40).

China cotton index CC Index 328 (yuan / ton):18701 (1)

Import cotton price index FC Index M (cents / pounds):85.91 (-1.31)

Transaction information: Zheng cotton The closing price of the main contract is 19575, with a drop of -0.43% and an inventory of 40 tons of cotton for each warehouse receipt: the number of warehouse receipts is 938 (-6), and the effective forecast is 13. ICE futures contract can deliver 2 cotton stock to 8446 (0) package (about 227kg per pack).

China's main port quotes us C/A SM 1-1/8 (cents / pounds):89.1 (-1.5), equivalent to import cost: 14912.61 yuan / ton, main contract 1301 closing price: 19575, import profit: 4662.39 yuan / ton.