Xinjiang Cotton Prices Rise This Signal Deserves Attention.

Recently, some cotton mills and operators in Henan, Anhui, Jiangsu and other places reflected that the quotation of Xinjiang cotton had a rebound of 100-200 yuan / ton, of which the higher hand picking cotton had a strong desire to raise the price upward, and the 2128B (3128B) grade gross weight was 12400-12500 yuan / ton. The "double 28" or "double 29" rebounded to 12500-12600 yuan / ton; the gross price of 2128C2 (3128C2) grade also rose to 12300-12400 yuan / ton, and the range of cotton price difference of all grades was reduced to 100-200 yuan / ton.

The main reason for the rise is that the cotton price quotations of the post corps are not adjusted, and the support for Xinjiang cotton spot is larger.

Market rumors that the relevant departments of the state will turn into 300 thousand tons of 2015/16 lint, so as to trigger high-grade cotton.

Worries about the widening gap; two, the overall rebound in global commodity prices in recent days. Crude oil, PTA and so on increased considerably. The price of raw materials such as PET staple, viscose staple and other cotton fabrics Rose (7 days).

The price quoted is 6500 yuan / ton, up 500 yuan / ton in the middle and February, and the difference between cotton and cotton is narrowed.

A 100 thousand spinning enterprise in Henan indicated that it should not just look at the inspection index of the resources of the reserve cotton wheel, but it would probably be better if the buyer could allow the buyer to enter the warehouse to see the goods before bidding.

Taking into account the large drop in color and other indicators (at least two years' storage) and the fact that the rotation time is still uncertain, the plant still plans to purchase Xinjiang cotton and bonded cotton for 2015/16.

Judging from the survey, small and medium-sized textile enterprises and cotton operators have a strong voice for early dumping. Because the leading products are C40S and below count cotton yarn, we hope to lower the spot price of cotton by lowering the price of the cotton and reduce the spinning cost. In addition, we can add a stable raw material procurement channel and replenish the supply gap in time.

The spinning enterprises that spin high count yarn and combed yarn are relatively cautious, and hope that the departments concerned will give priority to the 2013 cotton Xinjiang cotton and 2012 cotton imported in short time.

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According to the analysis report of the National Cotton Association (NCC), the digestion of American cotton is still mainly dependent on exports. Since the beginning of this year, the export of US cotton to China has dropped by 80% compared with the same period last year. The recent US cotton shipment has always been difficult to increase. It is still very difficult to complete the target of USDA (2 million 68 thousand tons).

According to the statistics of the US Department of agriculture, as of February 25th, the total net export volume of cotton in the US 2015/16 reached 1 million 578 thousand tons, down 603 thousand tons compared with the same period last year, and completed the USDA forecast of 75%, down from 88% in the same period last year.

The shipment volume of US cotton was 876 thousand tons, down 193 thousand tons compared with the same period, and finished 42% of USDA forecast, lower than 43% of the same period last year.

To complete the export target of USDA, the average weekly shipment volume and contract volume of US cotton weekly need to reach 55 thousand and 100 tons and 23 thousand and 200 tons respectively.

NCC said that although China's domestic cotton prices have dropped sharply in the past year, it is still nearly twice as high as that of chemical fibers.

Although global cotton consumption has exceeded production this year, stocks at the end of the year have declined, but inventories have not declined significantly. Moreover, the decline in inventory is mainly due to China's digestion of reserve cotton. If China throws large quantities of reserves, the negative impact on international cotton prices is self-evident, especially the supply of reserve cotton will weaken China's demand for imported yarn.

In addition, as an important market for us cotton exports, Turkey continues to carry out anti-dumping investigations against US cotton, which may lead to higher tariffs for us cotton exports to the country, while other varieties exported to Turkey will be duty-free.

In addition, cotton consumption in the US has increased slightly in recent years, but the strength of the US dollar will also inhibit the export of American cotton yarn.

The demand for cotton is low, imports from China are reduced, prices of agricultural products are low, and the strength of the US dollar has become the current cotton price.