Cotton Prices Are Falling Or They Can'T Stop.

In recent years, Zheng cotton has been greatly fluctuated, causing a series of fluctuations in the spot market.

According to reports, as of December 22nd, Xinjiang's hand picked cotton "double 29" and "double 30" prices were 16500-16600 yuan / ton, down 100 yuan / ton.

Recently, Zheng cotton plummeted, and some Xinjiang manufacturers and traders became sensitive.

The industry believes that "the recent instability of Zheng cotton, especially the center of gravity fell, the market has caused some chain reactions, I am afraid this is only a beginning, cotton prices in the late stage is facing a decline or can not stop."

Reporters learned from the findings of the national cotton market monitoring system recently released that in 2017, China's cotton planting area was 44 million 805 thousand mu, an increase of 960 thousand mu compared with the same period, an increase of 2.2%.

According to the survey, the cotton planting area in the Yellow River basin is 8 million 330 thousand mu, an increase of 0.1% over the same period last year.

In addition to the 10.2% and 1.1% cotton planting areas in Henan and Shanxi provinces, the cotton planting area in other provinces (cities) increased. The cotton planting areas in Tianjin, Shaanxi, Hebei and Shandong provinces increased by 8%, 2.6%, 1.9% and 0.2%, respectively.

The cotton planting area in the middle and lower reaches of the Yangtze River is about 5 million 280 thousand mu, down 8.1% from the same period last year.

In addition to the 6.3% and 1.6% increase in cotton planting area in Jiangsu and Jiangxi provinces, the intention of planting cotton in other provinces showed a downward trend. The cotton planting areas in Hubei, Anhui and Hunan decreased by 14.7%, 9% and 4.1%, respectively.

Northwest China's intention to grow cotton area is 30 million 707 thousand mu, an increase of 4.9% over the same period last year.

Xinjiang intends to grow cotton area of 30 million 349 thousand mu, an increase of 4.5% over the same period last year.

Cotton prices are expected to gradually stabilize. In the medium and long term, there are still nearly 8 million tons of stock in the state cotton reserves. If demand side has not significantly improved cotton prices, the long-term rise in space will be limited.

In recent years, Zheng cotton has been greatly fluctuated, causing a series of fluctuations in the spot market.

According to reports, as of December 22nd, Xinjiang's hand picked cotton "double 29" and "double 30" prices were 16500-16600 yuan / ton, down 100 yuan / ton.

Recently, Zheng cotton plummeted, and some Xinjiang manufacturers and traders became sensitive.

The industry believes that "the recent instability of Zheng cotton, especially the center of gravity fell, the market has caused some chain reactions, I am afraid this is only a beginning, cotton prices in the late stage is facing a decline or can not stop."

Reporters learned from the findings of the national cotton market monitoring system recently released that in 2017, China's cotton planting area was 44 million 805 thousand mu, an increase of 960 thousand mu compared with the same period, an increase of 2.2%.

According to the survey,

The intended cotton planting area was 8 million 330 thousand mu, an increase of 0.1% over the same period last year.

The intentional cotton planting area in Henan, Shaanxi, Hebei and Shandong increased by 8%, 2.6%, 1.9% and 0.2%, respectively, in Tianjin, Shaanxi, Hebei and Shandong provinces.

The cotton planting area in the middle and lower reaches of the Yangtze River is about 5 million 280 thousand mu, down 8.1% from the same period last year.

In addition to the 6.3% and 1.6% increase in cotton planting area in Jiangsu and Jiangxi provinces, the intention of planting cotton in other provinces showed a downward trend. The cotton planting areas in Hubei, Anhui and Hunan decreased by 14.7%, 9% and 4.1%, respectively.

Northwest inner land cotton

The area intends to grow cotton area of 30 million 707 thousand mu, an increase of 4.9% over the same period.

Xinjiang intends to grow cotton area of 30 million 349 thousand mu, an increase of 4.5% over the same period last year.

Considering the current low demand, but the new cotton prices are high.

Wait-and-see sentiment is thicker; in the short term, with the start of the 3 month round of cotton reserves, cotton prices are expected to stabilize gradually. In the medium and long term, there are still nearly 8 million tons of inventory in the national cotton reserves. If there is no obvious improvement in cotton prices at the end of the demand, there will be little room for long-term rise.

Shi Hongmei, an Orient Securities analyst, said that cotton prices and RMB exchange rate will become the core variables affecting the profits of domestic textile manufacturing export enterprises in 2017 under the environment of domestic and international demand.

As domestic cotton inventories decrease year by year, in 2017, when demand is relatively stable and domestic cotton output continues to decrease, domestic cotton prices are expected to show a gradual upward trend. The narrowing of domestic and foreign cotton prices and the steady uplift of cotton prices are conducive to the continuous improvement of textile manufacturers' profitability.

Under the strong US dollar cycle, the subsequent RMB exchange rate against the US dollar is still facing greater devaluation pressure, and the depreciation of the RMB will have a definite positive effect on textile manufacturing export enterprises.

Under the environment of global and domestic demand,

And the RMB exchange rate will become the core variable affecting the profits of domestic textile manufacturing export enterprises in 2017.

As domestic cotton inventories decrease year by year, in 2017, when demand is relatively stable and domestic cotton output continues to decrease, domestic cotton prices are expected to show a gradual upward trend. The narrowing of domestic and foreign cotton prices and the steady uplift of cotton prices are conducive to the continuous improvement of textile manufacturers' profitability.

Under the strong US dollar cycle, the subsequent RMB exchange rate against the US dollar is still facing greater devaluation pressure, and the depreciation of the RMB will have a definite positive effect on textile manufacturing export enterprises.

For more information, please pay attention to the world clothing shoes and hats net report.