Yarn Purchase And Sales Slow Down, Market Returns To Calm

In the past week, domestic cotton and cotton yarn futures prices have both fallen. In the face of the aggravation of the epidemic situation in foreign countries, under the condition of stable supply side, there are worries on the consumer side.

It is understood that the downstream demand improved in October, cotton yarn production and marketing speed up, the enterprise start-up rate continued to rise, driven by the rise in cotton raw material prices, cotton yarn prices also showed a large increase, but with the fall of futures prices, the consumer market has cooled down, enterprises purchase and order taking are more cautious, and yarn prices have declined slightly.

According to the survey of Cotton Textile Association, the weaving market was active in October, and the demand broke out due to the increase of replenishment and orders. The price of cloth went up with the trend and the market was extremely hot. After entering the last ten days, with the gradual weakening of festival order effect, grey cloth sales slowed down, and subsequent market orders were not as expected, grey cloth appeared bargaining space. Downstream home textile market is still hot, domestic demand increased significantly, conventional varieties sales smooth, prices also rose. At present, foreign orders are affected by both the aggravation of the epidemic situation and the exchange rate of RMB, with the increase of uncertainty factors and the reduction of orders. The profits of downstream enterprises are still not significantly improved.