Cotton Market Continues To Rise

Recently, the cotton market has continued to rise, and the quotation has increased by 500-700 yuan / ton compared with the previous stage, which has led to the improvement of the downstream yarn market, and the quotation of textile enterprises for cotton yarn has been raised by 50-100 yuan / ton.

Many spinning enterprises have already been unable to bear, and can only wait for the reserve cotton wheel to go out.

The polyester cotton yarn market is stable at present. There is no big fluctuation. It basically extends the pattern of order production in the early stage.

Viscose staple fiber market trading atmosphere continued to be light, the price has changed little for a period of time, basically in the 13700 yuan / ton hovering.

At present, the overall performance of the yarn Market in Hebei, Shandong and Henan provinces is still acceptable. Sales are basically smooth and orders continue to improve.

According to feedback from a textile manufacturer in Shandong recently

Conventional varieties 32S and 40s are more active in trading, especially the compact spinning varieties.

although

More active than before, but because of the high price of raw materials market, and most small and medium-sized textile enterprises benefit and capital situation is difficult to change in the short term, limiting the number of raw cotton procurement, so these manufacturers

All of them are kept at a low level. They are basically bought and used.

Related links:

Recently, the market expectations of the national cotton spinning policy landing.

"Notice on arrangements for rotation of cotton reserves in the state" clearly stated that the dumping time in 2015/16 was 31 days on May 3rd -8, and the total output was not more than 2 million tons. The reserve cotton was organized by the China Fiber Inspection Bureau to conduct a comprehensive notarization test on quality and weight.

"The announcement on the rotation of national cotton reserves has been known by the market at the annual cotton futures conference in mid March. The announcement of the policy is only a confirmation of the speculation in the previous market. The short supply of cotton reserves has basically been digested by the market.

In the long run, inventory pressure has been alleviated and has a neutral preference for prices.

Liu Yi, manager of MEIKO futures research department, said in an interview with reporters.

Some foreign businesses are "stable, accurate, and ruthless" to describe this national cotton store.

In particular, taking the price of the round out price and the CotlookA (real ICE futures) index "bundled" and adjusting it once a week, truly realize the linkage, linkage and combination of cotton prices inside and outside the country, which is conducive to maintaining the stability of cotton prices, enhancing the competitiveness of cotton textile export and the "marketization" of China's cotton industry.

"According to the policy announced by the state, the pricing method of the National Reserve has been determined. The average value of the CotlookA (real ICE futures) index and the domestic spot price index in the previous week were 50%, adjusted once a week.

The rotation time of 2015/16 is May 3rd, so the price of the round off refers to the price at home and abroad on April 25th -29, which is not yet available.

Liu Yi said in an interview with reporters.

Regarding the calculation method of throwing and storing prices, Yang Zhijiang, general manager of Shanghai Century Boulevard, merchants futures, said that for investors, they should try not to do more than the calculation of throwing and reserve prices.

According to the current domestic and foreign spot price situation, the domestic competitiveness will reach 12200 yuan / ton, and the competitive advantage will be gradually lost. The static judgement of 12200 yuan may be pressure.

"Fundamentally speaking, China's cotton production is decreasing, and the output of cotton reserves has become normalized, and the supply side pressure has weakened.

Domestic prices are falling, and the price advantage of imported cotton is also fading.

In terms of yarn, imported yarn has little profit except for combed yarn. The price of other cotton yarn has been upside down, and the price of chemical fiber is also rising.

In this way, the competitiveness of domestic cotton is enhanced and the supply pattern is changing, so we can watch more cotton. "

Liu Yi analyzed reporters.