Why Is The Rebound In Oil Prices Difficult? There Is No Market Price, Sticky Short Small Drop, Downstream Performance?

Market brief

In March 11th, China Cotton Reserve Management Co., Ltd. planned to purchase 15000 tons of Xinjiang cotton, and the actual turnover was 1280 tons, with a turnover rate of 8.53%. The average price was 13144 yuan / ton, of which 1280 tons were traded in the mainland bank. From December 2nd to March 11th, the total turnover of Xinjiang cotton reached 212480 tons, of which 12480 tons were accumulated in the Xinjiang warehouse, and 200000 tons in the mainland stock market. A total of 92 enterprises were auctions. This week (March 9th -3 13), the highest price limit was 13144 yuan / ton (standard 3128B price), down 421 yuan / ton compared with the previous week.

Zheng cotton opened concussion, the main contract was slightly reduced, and the rush failed. In the short term, Zheng cotton was afraid to further explore the former low. Spot cotton prices have been temporarily stable, domestic supply is stable, demand is slowly recovering, fundamentals are relatively stable, market watching atmosphere is strong, buyers are slowing down purchasing rhythm, fixed price transaction is difficult, turnover is still dominated by base point price resources. There are limited cotton stocks in the ginning mills in the mainland, the acquisition of seed cotton is difficult, the lint processing is immeasurable, and most of the cotton mill is still reluctant to sell. Purchase and sale of imported cotton market is still not prosperous, new cotton port to India more, port spot inventory continues to rise, short-term import cotton prices rebound pressure. On the whole, demand is in a weak position, producers are limited to cost pressures and wait and see. The purchase and sale game continues. Cotton prices are expected to continue to move at a low level. Attention should be paid to the impact of the external market on cotton prices.

The price of acrylonitrile is weak, and the price of propylene has slowed down. The cost of acrylonitrile has been sustained. Some factories have continued to fall in price, the price in the circulation sector is low, the trader's mentality is cautious, and the market has heard a lot of low prices, but the market price has fallen below the cost line of the factory, and the mentality of manufacturers is cautious. The recovery of the short term downstream is slow, and the price of acrylonitrile is weak. The situation is hard to change. Acrylic staple fiber prices continue to stabilize, raw material acrylonitrile price is weak, acrylic fiber cost support is insufficient, manufacturers profit margins gradually appear, at present, the market trading has not yet fully recovered, manufacturers offer a steady state of mind, the market has no new news guidelines, short-term forecast acrylic fiber price stabilization.

According to feedback from Cotton Traders in Guangdong, Jiangsu, Zhejiang and other places, the quotation of cotton yarn outside India, Pakistan, Vietnam and other places continued to drop more than before in early March. There were obvious signs of enquiry and turnover in the late spring, especially in India, where the cotton yarn was greatly depreciated by the rupee against the US dollar, the domestic cotton yarn consumption in India was sluggish, and the price of imported cotton fell sharply, resulting in a decline in the cost of the cotton mill. Factors affecting FOB and CNF offer slightly lower. A foreign trade company in Shanghai said that in February, customers from Italy, Germany and Spain first reduced the number of 40%-50% orders, and then informed the order that the order had not been cancelled, and the delivery was delayed, because the shops were closed and when to deliver the goods. The downstream enterprises, such as weaving, printing and dyeing, had resumed their work, but the proportion of the resumption of production was generally low. The list is few.

Market Supervision Bureau website 10, announced that, in order to drive up the melt blown cloth price violations, the market supervision administration attaches great importance to the joint public security ministry to investigate and punish the illegal market of disrupting the price of melted cloth market, and resolutely cut off the illegal chain of melted spray cloth prices. In March 7, 2020, the General Administration of market supervision investigated and investigated the Shenzhen colorful fashion sporting goods Co., Ltd. According to the investigation, Dongguan Dacheng filter material Co., Ltd. sold the melt blown cloth to the natural person at a price of 180 thousand yuan per ton in the upstream raw material price. Rao changed to 300 thousand yuan per ton and sold it to Shenzhen colorful fashion sporting goods Co., Ltd., Shenzhen colorful fashion sporting goods Co., Ltd. sold at a price of 450 thousand yuan per ton. In March 10th, the General Administration of market supervision investigated and investigated Shenzhen Hengyi Digital Printing Co., Ltd. According to the investigation, in February 15th, the company purchased a batch of India melt composite non-woven fabrics from a company in Hubei province at a price of 90 thousand yuan per ton, sold at the price of 165 thousand yuan, 170 thousand yuan and 260 thousand yuan per ton, respectively, to Ganzhou, Anyuan, Foshan, Shenzhen and other enterprises. In March 2nd, Shenzhen Hengyi Digital Printing Co., Ltd. was sold to Dongguan Demi Nanometer Technology Co., Ltd. at a price of 100 thousand yuan per ton, which was sold at a price of 200 thousand yuan per ton. In these 5 cases, the illegal business operators have stepped up the price level, speculating prices and raising the price of the melt blown cloth, which is suspected to constitute a driving up of price violations. The market supervision administration has placed an investigation on relevant enterprises and individuals according to law. Those suspected of committing a crime shall be transferred to the public security organ for investigation of criminal responsibility.

In March 10th, the reporter received information from the Sinopec news office. In order to further enhance the market's ability to supply and stabilize raw material prices, based on the 10 emergency melt line production lines (capacity 18 tons / day), Sinopec recently decided to add 6 production lines to Yanshan petrochemical and Yizheng chemical fiber to increase the production capacity of 12 tons / day of melt blown fabric. It is expected that after the end of May, all the production lines will be put into operation. 30 tons / day capacity will be formed. It is understood that the total volume of Sinopec melt blown fabric can reach 18 tons / day in mid April through self production, industrial chain collaboration and overseas procurement. It can meet the raw material demand of 18 million daily medical flat masks or 3 million 600 thousand N95 masks of Nissan.

In March 9th, the Guangzhou light textile trading garden took the lead in the resumption of the market, and opened the prelude to the resumption of the market of the Zhongda textile business circle. More than a month after the suspension, the textile business circle of China and the greater USA. opened again. In March 10th, the four markets of Guangzhou International Textile City, Pearl River International Textile City, Yangtze River (China) Textile City and Jiuzhou light textile Plaza resumed the same day. In March 9th, Guangzhou joint trading Park Investment Co., Ltd. issued rent reduction notice, free of rent in 2 and March, the monthly rent is free, only management fees!

According to the Propaganda Department of Gaoyang County Party committee of Hebei Province, Gaoyang County is a famous textile town in the country, and the textile industry accounts for over 70% of the county's economy. In order to promote the resumption of production and production in an orderly way, the county, in accordance with the general requirements of the Non-Proliferation of imports and exports, formulated the notice on "doing a good job in the work of resuming and resuming production of enterprises", "notice on policies and measures for supporting small and medium enterprises to tide over difficulties", and "supplementary instructions on promoting enterprises' orderly resumption and resumption of production during the epidemic prevention and control period". We will try our best to get through the resumption of production and production channels. Up to now, 790 textile enterprises have been started in this county, and 17420 workers have returned to posts.

On the evening of 9 local time in Kampuchea, the new Haifeng liner, which transported more than 60 containers of textile raw materials, had first arrived and stopped at Sihanouk port. The containers, full of buttons, zippers and textiles, are the result of emergency measures taken by the Chinese Ministry of Commerce and the Chinese Embassy in Kampuchea to coordinate the supply and transportation of raw materials to Cambodian textiles. In accordance with the relevant laws and regulations of Kampuchea, carrying container vehicles can not be on the road during the day, but in order to solve the shortage of raw materials in Kampuchea's clothing and shoemaking factories and workers to resume work, the Cambodian side will provide all the convenience for the Chinese liner to carry on the textile raw materials, and when necessary, use the police car to open the way to ensure the timely delivery of raw materials to the factory. It is understood that the textile and garment processing industry is one of the main economic pillar industries in Kampuchea. More than 60% of the industry's accessories are imported from China. Due to the new crown epidemic situation, the shortage of raw materials in Cambodia textile industry is increasingly prominent.

The US Department of agriculture's March global supply and demand forecast showed that the US cotton production, ending inventory and farm prices were down by 2019/20 in the year. US cotton output was reduced by 300 thousand packs to 19 million 800 thousand bales, consumption and export volume unchanged, ending inventory reduced by 300 thousand to 5 million 100 thousand packs. The average annual price of the upland cotton farm is 60 cents, down by 2 cents. In 2019/20, the world's cotton production and final inventory rose, consumption fell by 800 thousand packages, of which China reduced 1 million packages, Bangladesh and Turkey increased slightly. Global output has increased by about 250 thousand packs, mainly from Brazil, Chad and Tajikistan, and in some other countries such as the United States. The end of the world inventory ring ratio increased by 1 million 300 thousand packages, an increase of 3 million 200 thousand packages.

According to Tanzania's mainstream media, the Guardian reported on March 6th, Tanzania's minister of industry and trade, Bashang gourd, urged people to be psychologically prepared to stop using second-hand clothing and other imported second-hand products. The government plans to impose tariffs on these imported second-hand products. When inspecting two leather production enterprises in Kilimanjaro Province, Bashang melon said that Tanzania's local enterprises have made great success in producing qualified products, and imported second-hand products are killing local industries. In order to promote the economic development of local manufacturing industry, the government is considering adding high tariffs to secondhand clothes. It will discuss with the Minister of finance, mpago, to levy imported products. Customs duties create a good environment for local industrial development.

Market curve