Cotton Reserves Rose For Three Weeks, Rising By 4.04%.

The first fifth weeks, sixth weeks and seventh weeks of the turn out of the sale price were raised by 144 yuan / ton, 171 yuan / ton and 165 yuan / ton respectively.

The main reason for the sharp adjustment of the reserve price of the reserve cotton auction was that the main contract in December rebounded to 66.45 cents / pound from the lowest 60.10 cents / pound.

On the 12-17 day of June, 12364 yuan / ton of the bottom selling price (standard level price), the textile enterprises and traders who participated in the auction gradually reacted strongly. On the one hand, the reserve price of cotton auction bid and 2015/16's annual real estate cotton price difference were greatly reduced, from 600-700 yuan / ton of premium to 150-250 yuan / ton of discount (3128B).

Industry competition has been suppressed; on the other hand, since the beginning of June, the price and volume of downstream fabrics and yarns in the domestic industry chain have been weakening, and the characteristics of the off-season have emerged. In addition, the fluctuation of the RMB exchange rate has increased and the risk has increased. The profits of the mills and weaving enterprises have continued to decline. The reserve price of cotton mills has gone up against the trend, which has greatly reduced the ability to receive orders and the living space of the small and medium cotton mills.

I believe that the continuous increase in the reserve price of cotton reserves is not enough to support the spot market.

On the one hand, the sale of cotton reserves is hot, and auction companies have increased their prices. The increase is far more than the auction price increase in recent weeks.

On the 3-12 th of June, the maximum increase was 2620 yuan / ton, 2500 yuan / ton, 2020 yuan / ton, 1620 yuan / ton (the highest price increase was domestic cotton). On the 3-12 day, the price of domestic cotton instead of 3128 grade lint was 12739 yuan / ton, 12714 yuan / ton, 12744 yuan / ton, 12744 yuan / ton, yuan yuan / ton, respectively, compared with the weekly reserve cotton wheel, the base price was higher than that of yuan yuan / ton, yuan yuan / ton, yuan yuan / ton, yuan yuan / ton, yuan yuan / ton, so the bid price of weekly auction up to yuan yuan / ton has little influence on the mentality and auction enthusiasm of cotton textile enterprises and traders.

On the other hand, the quality of reserve cotton is the focus of auction companies, and the "asymmetric" competition of cotton in the spot market on 2015/16.

The reserve color level of domestic cotton is mainly "12", "13", "14", "22", "23" and so on. Among them, the "13" level occupies a relatively large proportion, but it does not affect the cotton spinning C21-C40S cotton yarn. Moreover, the indexes such as the breaking strength ratio of the cotton, the consistency of the fiber length and the quality of the single batches are all comparable to those in the 2015/16 market. The reserve cotton and the spot quality and price can not be placed on the table. What is the support? The average price of cotton reserves in June 3-12 days is 11976 yuan / ton, 11879 yuan / ton, 11976 yuan / ton, 11976 yuan / ton, and yuan / ton respectively, which is lower than the current spot market price by yuan / ton. From the re examination data, 2012 and 2103