Xinjiang Cotton Quotes Cautiously With Increasing Highway Traffic Volume Drop Again

By the sharp rebound of Zheng cotton, in July 22nd, Xinjiang cotton quotations in the Xinjiang and inner and Outer Banks in July 22nd were expected to rise, but traders and ginning factories were cautious, generally rising at 100-150 yuan / ton. Because of the unclear direction of ICE and Zheng cotton, and the fact that Sino US trade consultation is complicated and confusing, the textile enterprises and middlemen have been making inquiries and picking up goods on the 13100 yuan / ton of Zheng cotton. On the 22 day, the "double 29" hand picked cotton price was quoted at 14200-14250 yuan / ton, and the "double 29" price of the machine picked cotton in the northern Xinjiang was quoted at 14000-14100 yuan / ton, and the "double 28" price for the machine picked cotton in North Xinjiang was 13700-13800 yuan / ton.

Part of the inner ginning factory said that although the 4128/4129 grade (26-27cN/tex) was only quoted at 13150-13300 yuan / ton, and the difference between the "double 29" price was close to 1000 yuan / ton, there were still few textile factories and traders paying close attention to the inquiry. Some spinning mills with 32S and less counts of cotton yarn were more interested in cotton reserves.

The regulatory repository of Kuitun, Urumqi, Akesu and other places reflected that, with the rebound of Zheng cotton's CF1909 contract, traders were showing a cooling down regardless of the "base price" or "one price" basis, especially in the southern Xinjiang picking cotton (local machine picked cotton in the southern part of Xinjiang was lower due to the lower fracture strength and greater difficulty in the delivery of impurities), and the volume of motor vehicle outbound storage decreased again compared with the first half of July. Industry analysis, on the one hand, nearly a month ago Xinjiang cotton road freight continued to rise slightly, involving cotton enterprises worry that cotton "shift library" sales of a large number of occupied liquidity (part of the cotton mill, cotton enterprises in 7-8 months to repay the loan, and the pressure of financing); on the other hand, Zheng cotton oscillation rebound, high cost performance warehouse receipts greatly reduced, so the enthusiasm of textile enterprises to receive warehouse receipts weakened.

In addition, from the survey point of view, because of the low production and marketing of the downstream gauze, it is difficult to ease the financial strain of enterprises, and with the deepening of the Sino US trade war, most of the raw materials replenishment storages of textile enterprises are mainly based on "maintaining production and taking goods on a single basis", so that funds can be avoided as much as possible.