Target Price Policy: New Changes In Cotton Futures Market

　　 Selection The Zhengzhou Mercantile Exchange cotton futures CF1401 contract 2013 1 to June market data, as well as CF1501 contract 2014 1 to June market data for research.

The related news of cotton target price policy emerged from the end of 2013 to the beginning of 2014, which affected the cotton planting and acquisition in 2014. The CF1501 contract was traded in January 2014 and delivered in January 2015, which covered the cotton planting and acquisition period in 2014. It could fully reflect the impact of policy changes. From the data of cotton historical transaction, in January, the futures contract transaction activity was higher, the volume and position were larger, and it was more representative compared with other month varieties.

Cotton planting has cyclical characteristics. It is more scientific and reasonable to compare the data of the same year contract in the same year.

Collecting cotton futures CF1501 contract from January 2014 to June 30th, during which the highest price, lowest price, closing price, trading volume, turnover and position data of each transaction date, corresponding to the 2013 2013 1 to June cotton futures CF1401 contract date of the relevant data.

According to statistics, from 2014 to June, cotton futures CF1501 contracts increased significantly compared with the CF1401 contract of the corresponding month last year, and the total volume and total turnover increased by 201.8% and 140% respectively in 1 months. Especially in April, when the country released the target price of cotton in Xinjiang in 2014, the turnover and turnover volume of CF1501 contracts increased by 195.5% and 197.2% respectively in April (CF1401 contracts rose by only 6.6% and 6% over the same period last year).

According to statistics, the average daily positions of CF1501 contracts for cotton futures increased from 201.2% to 1 in the corresponding month of 2014, from 2014 to June, and the average daily positions were significantly enlarged. Especially in April, when the country released the target price of cotton in Xinjiang in 2014, the average daily position of CF1501 contracts increased by 104.5% in April (CF1401 contract rose 44% over the same period last year).

According to statistics, from 2013 to June, the average price fluctuation rate of cotton futures CF1401 contract was 0.6%, the average daily price fluctuation was 0.03%. In 2014 1 June, the average price fluctuation rate of CF1501 contract was 0.81% during the day, and the average daily price fluctuation was -0.06% -0.06%. The intraday price volatility and daytime price volatility of CF1501 contracts increased by 35% and 100% respectively over the same period last year. The CF1401 contracts increased by a year.