Price Increases On The Upstream And Downstream, Yarn Trading Volume Decreased

With the Spring Festival approaching, cotton and chemical fiber prices continue to rise, and market confidence is further enhanced. However, as the downstream manufacturers gradually entered the holiday mode, the market volume declined.

Raw materials for cotton. Last week, Zheng cotton futures continued to break through. In January 10th, the main contract CF2005 contract closed at 14285 yuan / ton, compared to the previous week (3 days) closing price of 14015 yuan / ton rose 270 yuan / ton, a small increase in positions. The cotton spot prices continued to rise during the week, thanks to the optimistic outlook of Zheng cotton and Sino US trade prospects. Xinjiang cotton's base bid and price increase have increased considerably. Xinjiang hand picked cotton price quoted is 13800-14200 yuan / ton (pick up, gross weight, including tax), the fixed settlement price is 13400-13800 yuan / ton, up 200-300 yuan / ton compared with the previous week. The price of cotton in the mainland market is rising synchronously. Shandong, Hebei, Jiangsu and other places of Xinjiang cotton "double 28" pick up cotton pick up price near 14200 yuan / ton, "double 29" pick-up price near 14350 yuan / ton, all gross weight settlement, near the previous week rose 300 yuan / ton; real estate cotton three grade picking price near 13900 yuan / ton, compared with the previous week rose 300 yuan / ton.

Other raw materials. Affected by the conflict between the United States and Iran, manufacturers are strong in chemical fibre. During the week, the price of PET staple fiber increased, and the price of 1.4D*38mm polyester staple in Jiangsu and Zhejiang provinces was around 7130 yuan / ton, up 100-110 yuan / ton compared with the previous week. Viscose staple fiber rose steadily, Jilu 1.5D*38mm viscose staple fiber reported 9700-9900 yuan / ton, 1.2D*38mm viscose staple fiber reported 9700 yuan / ton, compared with January 3rd rose 500 yuan / ton, the actual deal can be discussed.

Pure cotton yarn. Market positive factors gathered, pure cotton yarn continues to rise. First, China and the United States are about to sign the first stage economic and trade agreement, which is boosted by the news, and the voice of the market is rising again. Two, cotton raw material prices continue to rise, and the cost of pure cotton yarn is rising. Data show that since January this year, Xinjiang cotton has risen 500-700 yuan / ton, Zheng cotton has stabilized 14000 yuan / ton line and continues to make a breakthrough. Downstream cotton mills continue to raise prices to meet the rising cost of raw materials. According to feedback, cotton mills around the country have entered the holiday mode this week, but it has not affected the price increase of some enterprises. At present, the price of 10S, such as Shandong, Henan and Hubei, is 13100-13200 yuan / ton, and the price of combed 21S and 32S is 19500 yuan / ton, 20450-20600 yuan / ton, respectively. Compared with the previous week, the price center of gravity rose 50-100 yuan / ton. Because of the general holiday, market transactions are decreasing.

Other yarns 。 As of January 12th, a factory in Shandong Dezhou pure polyester yarn 32S factory quoted 11500 yuan / ton, compared to the previous week prices rose 100 yuan / ton; Hebei Shijiazhuang a polyester cotton yarn 45S (T/C 65/35) price in the vicinity of 17200 yuan / ton, compared to the previous week, flat, general sales, can be negotiated according to volume.

Imported yarn. Imports of yarn market maintained a strong trend, traders reluctant to sell, sell high sentiment is still strong. During the week, the quotation of cotton yarn in India and Pakistan on spot and 3/4 months continued to rise slightly. In mid November, the yarn inventory of China's main port free trade zone and logistics area was 7-8 tons, which was about 20 thousand tons lower than that in December 2019.