Cotton Price Continued To Fall (11.1-11.1)

According to the statistics of the business agency, as of November 10, the average price of domestic lint spot market was 14470 yuan / ton, down 150 yuan / ton, or 1.02%, compared with November 1, and 10.81% higher than last year. Cotton prices experienced a sharp rise in October, domestic orders in September / October after rapid digestion, the market transactions are gradually cold down. International cotton prices began to fall back in early November.

The benefits of order transfer in October may be overestimated. According to the statistics of the General Administration of customs. China's textile and clothing export volume was 24.845 billion US dollars, down 12.45% month on month. Among them, the export volume of textiles (including textile yarn, fabrics and products) was 11.661.7 billion US dollars, a decrease of 11.33% on a month on month basis; the export volume of clothing (including clothing and clothing accessories) was 13.183 billion US dollars, down 13.41% month on month. Although there are some factors such as exchange rate influence and delay of goods delivery, it still gives cold water to the market. The dividend of foreign orders is also given to some textile enterprises. After a short run up, the cotton market falls back and adjusts.

(data source: national cotton market monitoring system, China Cotton network)

As can be seen from the above table, last week, zhengmian's main contract 2101 was at 14372 yuan / ton, down 133 yuan / ton, or 0.9%, while ice cotton fell below 70 cents / pound, down 0.79 cents, or 1.1%, month on month. Among them, the biggest drop was Indian cotton, down 522 yuan / ton, or 4.0%. The market competitiveness of domestic cotton decreased. The price difference between domestic cotton and imported cotton was 1762 yuan / ton, up 362 yuan / ton month on month.

(data source: national cotton market monitoring system, China Cotton network)

International cotton yarn prices generally fell, with the decline of 32 Combed Yarns ranging from 600-886 yuan / ton, with Indonesia's largest decline. Cotton yarn prices at home and abroad are also expanding, with the price difference between China and India reaching 687 yuan / ton, up 45.6% month on month.

Business agency analysts believe that in November, some small and medium-sized cotton textile enterprises' orders turned sharply, the production and marketing situation turned sharply, and the enthusiasm for raw material procurement was no longer as before, forming a certain negative effect on lint. But on the other hand, most of the traders realized clearance or inventory pressure, and the quotation was strong and hard, so the actual transaction was not hot. In October, the cotton price soared, and the inventory structure of cotton spinning enterprises had a certain dislocation. The inventory of raw materials moved down, but the terminal consumption did not participate in synchronously. The cotton market entered the adhesive period again. It is expected that the focus of cotton price will continue to move down.