Cotton Trading Is Still Hot, The Price Of Downstream Yarn Is Rising.

ICE cotton

Overnight ICE cotton Contract prices continued to rise, with 73.28 cents / pound in December, up 2.5 (3.53%), and volume increased. In July 13th, market Continue to immerse in the atmosphere of the USDA monthly report, the volume of ICE futures continues to enlarge. In December, the contract reached the price limit in early trading. After that, it sped up some gains but closed up more than 200 points, creating a new high. US cotton has been rising rapidly for several days, and the possibility of callback increases in the short term.

India Market

On the 13 day, spot prices in India continued to rise, and the price of S-6 ginning factory rose to 46750 rupees / candi, which was 89 cents / pound, but there was no actual deal. At present, the factors that support cotton prices are not only from tight supply, but also the market's worries in the next year. At present, the planting area in India is lagging behind in previous years, especially in the area of Gujarat, where rainfall is scarce. But on the evening of 12, there were moderate to heavy rain in most parts of Gujarat, and the growth rate was about 40%. At the same time, there are Maharashtra, but less rainfall. On the contrary, Central Plains, severe rainfall has caused stagnant water.

domestic market

This week (July 2016 8-14), the main cotton producing areas in China gradually resumed fine weather. Among them, the main cotton producing area in the Yellow River basin has higher temperature, which is favorable for cotton growth. Most cotton fields are blooming in succession, and some cotton plants begin to ring. The main cotton producing areas in the Yangtze River Basin suffered floods in the early stage, and cotton growth was greatly affected. Among them, the flood disasters in Anhui, Hubei and other provinces were very serious. Up to now, some cotton fields failed to drain in time, and cotton growers were faced with the predicament of extinction. Most of the cotton fields in Xinjiang have small to moderate rain from west to East this week. There are moderate to heavy rain in Bazhou area. cotton Growth has brought about a certain impact, but more importantly, the problem of drought and water shortage in the southern part of Xinjiang has been solved. It is a timely rain. The weather is basically normal in Northern Xinjiang, and the temperature is high. Cotton grows smoothly and blossomed in succession.

The reserve cotton transaction is still hot, and the price of downstream yarn is rising.

On Thursday, Zheng cotton prices were at a high level, and 1701 of the main contracts were higher than before, and the concussion was reduced. Trading volume decreased and positions increased. At present, Zheng cotton's holdings were nearly 537 thousand. 1609 the contract settlement price is 15390 (+105), the 1701 contract settlement price is 15760 (+125), and the 1705 contract settlement price is 15660 (+20). As of July 14th, the cumulative turnover of cotton reserves totaled 1 million 304 thousand tons, the total volume of imported cotton was 296 thousand and 300 tons, and the turnover rate was 98.16%; the total turnover of domestic cotton was 1 million 8 thousand tons, and the turnover rate was 97.96%. In recent days, the turnover rate of cotton reserves has been 100% in succession. Textile enterprises consider that after the end of August, the market does not have the reserve cotton backing. In July 14th, 30 thousand tons of reserve cotton were listed, and the amount of listed resources exceeded expected. However, if the amount of pre launch listing is large, the amount of cotton available later will be limited. At present, domestic and foreign cotton prices are strong, cotton prices continue to rise in India, and USDA monthly also lowered India and Pakistan cotton production, ICE cotton prices rose sharply, the international cotton prices have been strong support. Cotton prices in the domestic market are strong, and the prices of cotton reserves continue to soar. The price quotas for downstream yarns have begun to rise, and the rally is moving downstream. In the long term, Zheng cotton is in an upward trend. In the short term, the possibility of technical callback increases after the continuous rise in the price of zhengmian cotton. It is suggested that profits should be taken out of the field or light holdings will be held. The reserve cotton transaction is still hot. The price of downstream yarn has risen sharply.