Domestic Cotton Yarn "Superior" Cotton Consumption Small Step Improvement

When the cotton growing area in Xinjiang entered the flowering stage, it was postponed for about 5 days compared with the previous years. In addition to the bad weather in some areas, the cotton growth in most parts of the world was better. Due to the different weather conditions in northern and southern Xinjiang, the growth of cotton was quite different.

The weather conditions in the inner cotton area are more suitable for cotton growth. Cotton is generally in the fifth true leaf stage to the budding stage. A few sporadic flowers are blooming. Generally speaking, the growth of cotton in the the Yellow River river basin is better than that in the Yangtze River Valley. Most cotton growth and development period is earlier than that in the same period last year. The Yangtze River Basin is affected by low temperature and rainy weather, and cotton grows slowly, and the overall growth is worse than last year.

The auction was hot, but the volume of inflow to the trade was not large, and the slow export of domestic cotton was the main reason.

Recently, the market has been rumored for many times that it is unlikely to sell.

From part of the reserve cotton, we know that the daily public inspection volume is about a few hundred tons, less than more than 170 tons. In a month without rest, it can only check about 5000 tons. To meet the requirements of "package inspection and batch inspection", it is necessary to detect and discharge the warehouse.

If the NDRC wants to change the current situation of slow storage of national cotton stores, only by lowering the inspection standards will it be unknown whether enterprises will be recognized by enterprises.

There is a great deal of uncertainty.

This is also the reason why cotton auction is delayed.

In view of the fact that the pattern of supply and demand imbalance is difficult to change in the short term, only the domestic cotton throwing and storing market turnover rate can hardly be reduced in the short term.

In China, the temperature in Xinjiang cotton region has been low since the beginning of June, and it has been attacked by hailstones intermittently. From the overall situation, the affected area is around 100 thousand mu, accounting for about 0.3% of the output of Xinjiang cotton area. The recovery of temperature in the 7-8 months will have a great impact on output.

In India, so far, 980 thousand hectares of cotton have been planted, compared with 1 million 430 thousand hectares in the same period last year.

But the rainy season between June and September this year is 106% higher than that of the normal period. It is also delayed by one week compared with the previous years.

Yarn prices rose simultaneously in June, but

Rising rapidly, the difference between the two is more obvious.

Domestic cotton yarn partly replaced imported cotton yarn, and cotton consumption began to rebound.

Compared with the cost price of cotton yarn, the market supply will be tight in September this year, and the price is expected to remain strong until September.

And the intensity is expected to slow down slightly, for two reasons: first, the exchange rate fluctuations are uncertain, the domestic yarn to import yarn extrusion process is likely to stagnate or even repeated; two is the textile off-season, the overall capacity of the downstream is limited, and in September is about to usher in the new cotton market, the national cotton throwing and storage prices will not rise significantly.

According to the social inventory of 1 million tons at the end of May, 2 million tons of subsequent national savings and auctions were calculated (according to the current volume, 2 million tons of reserves were not particularly difficult), 600 thousand tons per month were calculated, and the demand for 5 months before the new flower listing was calculated according to 3 million tons, and the balance between supply and demand was tight.

Considering the tight expectations of high quality cotton and the relatively low supply of futures market deliveries, it is easy to cause market uplifting sentiment.

State Reserve Auction continued, the overall supply can still be enough, but the national cotton store outgoing speed is slow, the high-grade cotton is reduced, the tight structure of the structure is supporting the whole cotton market, and it is the support for the market.