Recently, China Reserve Cotton Management Co., Ltd. issued the “Circular on Release of the Sixth Batch of National Reserve Cotton Rolls for 2016/2017â€, and the notice pointed out that the sixth batch of public inspection plans for outbound deposits is 414,000 tons, all of which are reserved for Xinjiang cotton. And all are directly under the cotton storage unit. It is currently in the off-season of the textile industry. Will cotton yarn be affected by this and how will it go?
The price of cotton moved. Since this week, the transaction volume of reserve cotton has decreased, and the transaction rate has stabilized at about 55%; cotton traders have heard the sound of shipments, and most cotton traders have stepped up sales recently, and spot prices have returned to the market. Other textile materials rose against the market. According to Jiangsu and Zhejiang textile companies, the price of polyester staple fiber has risen sharply since mid-July.
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The prices of polyester staple fiber and viscose staple fiber have risen against the market. According to local textile enterprises, the supervision of the Ministry of Environmental Protection has been strict since July and enterprises with pollution problems have been shut down. Large and medium-sized enterprises have also been severely rectified and increased. Environmental dust removal facilities, which are more serious pollution for chemical fiber companies and dust-laden viscose enterprises, not only cost increases, there are not a small number of shut down, for which most companies continue to increase product prices.
The downstream fabric is still not optimistic. Cotton cloth as a whole remained weak, companies take the goods in general, the price downward adjustment, some manufacturers inventory pressure, owing raw materials phenomenon is more common. The price of polyester-cotton fabrics was stable and trading was light. Due to the overall lightness of the downstream, the yarn pressure is greater. However, due to the possible downside of the cotton market, to take this opportunity, whether the days of textile companies can be better?
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The downward trend in the price of pure cotton yarn weakened, basically showing a weak adjustment trend, partially lowering the price promotion to clear inventory, and the late orders were not able to follow up. The trading atmosphere of pure polyester yarn was normal, and prices declined slightly. Among them, T45S had a better trading volume, and other specifications were relatively stable. People's cotton yarn prices are stable, compared with the R30S trading volume. The volume of polyester/cotton yarns is average. Polyester viscose yarn 40S/2 trading volume slightly better, the price is basically stable. At present, the inventory of spinning mills has been increasing gradually, most of them are about 25 days, and the operating rate has been slightly reduced, and depending on the sales conditions of different specifications, there are conversions. The overall late-stage orders follow-up efforts are poor, and manufacturers have insufficient confidence in the market outlook.
The weakness of pure cotton yarn, some manufacturers take a slightly lower price, Shandong factory C32S woven (half reserve cotton half Xinjiang cotton with cotton) offer 23,000 yuan / ton, the overall take the goods is not good. The order of human cotton yarn is generally flat. The 40S cash of Siro spinning negotiates 21800-22,000 yuan/ton, and some 22,000-22500 yuan/ton is difficult to implement.
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This year's demand in China is actually very good, but it is expected to be more pessimistic. Therefore, after experiencing the initial madness, the State Reserve Cotton Market has been relatively calm, the transaction price has gradually weakened, and the transaction ratio has remained at around 60%. The monthly turnover of 40-45 thousand tons is very stable. Until recently, the state reserve cotton market has gradually shown signs of buoyancy. Price increase buying has started to appear, prices have rebounded, and the transaction rate has started to increase. Pessimistic expectations can curb demand, but currently there are only 30 or more trading days before the reserve cotton market is closed. If the company does not purchase any more, the cotton in the latter stage will be relatively tight. Therefore, the time must be released because of the time. Therefore, the transaction volume starts to increase.
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