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    Beware Of Speculation In The Cotton Market

    2020/5/19 12:13:00 0

    Cotton Market

    At the time of Xinjiang's cotton growing season, the weather will become the focus of the market and the hot spot of speculation. The climate in Xinjiang is basically normal this year, and cotton prices are limited. However, we need to pay close attention to future climate changes.


    Cotton growers in Xinjiang said that during the same period last year, the North Xinjiang lasted for a long time, but there was a strong wind in the southern Xinjiang, which had a great impact on the growth and development of cotton seedlings. Up to now, Xinjiang climate and cotton growth is better than last year, of which Northern Xinjiang is better than southern Xinjiang.


    Recently, the food and Agriculture Organization of the United Nations (FAO) released the progress report on the prevention and control of locusts in East Africa and Yemen desert in May 11th by local food and Agriculture Organization (FAO). Although a large number of land had been basically eliminated after the prevention and control of pests, the first wave locust had been bred, and the second wave locust group was expected to transition from larva stage to adult stage in June. Fly into disaster.


    Cotton industry investors said that in February, affected by locust disaster, cotton will usher in a wave of rising trend, and whether cotton will continue to be affected in the future is worth paying attention to. This year's global climate anomalies, the domestic weather is also changing drastically, we need to be vigilant, to guard against adverse weather effects on cotton. Affected by the new crown epidemic, the consumption of downstream textile clothing has shrunk, and signs of improvement have not been seen for the time being. The supply side is full of uncertainties. Once the climate has affected the output, cotton market is likely to see a wave of rising prices, because the supply side is full of uncertainty when the consumption side is stable. When Xinjiang cotton harvest, the output is basically determined, in the cotton consumption downturn, the price will naturally fall.


    There are also some people in the industry believe that under the condition of weak consumption, it is difficult to have a decent rebound in cotton prices. No matter what the final result is, the rain silk is far more efficient than the rest. Especially when we all take lightly, we should be more vigilant.


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