Cotton Purchase And Storage Boosted Market Confidence, Local Spot Rose Slightly

Domestic cotton market prices continue to rise slightly, representing the 229 class cotton prices in the mainland.

The average price of A index (CNCottonA) was 19419 yuan per ton, up 22 yuan / ton compared with last week; the national cotton price B index (CNCottonB), representing the price of grade 328 cotton in the mainland, was 18499 yuan per ton, up 28 yuan / ton, and the average price of grade 428 cotton was 17590 yuan / ton, up 27 yuan / ton.

This week, cotton grows well in most parts of the country, and the adverse effects of heavy rainfall such as Hebei on cotton growth. If the weather is normal in the late part, the cotton bolting period and picking period are expected to advance in some areas, and the output is expected to be flat or slightly increased over the previous year. The sub 400 enterprises have begun to overhaul the equipment and pay attention to the weather changes in the main cotton producing areas, especially the impact of typhoons on cotton production.

At present, China's cotton net has launched a survey on the new flower listing in the new year, and the survey participants are expected to concentrate on 4.0-4.2 yuan / Jin for the 3 seed cotton price of 38% lint (see details: new flower listing in 2012/13, welcome to take part in the survey).

In July 18th, the China cotton reserve management company held a working conference on reserve cotton business in Ji'nan, Shandong. Hou Zhenwu, deputy general manager of China Cotton Storage General Corporation, analyzed the current cotton market situation. It is considered that from the current cotton consumption situation, it is possible that the new year's cotton market will meet the start-up conditions of the temporary storage and storage plan, and the reserves may exceed the previous year.

This has undoubtedly increased the confidence of market participants, and even some enterprises are optimistic about the late high-grade cotton market, and think that the high grade lint is stored and stored in large quantities in 2011.

Under the limited circumstances, the high grade lint at the beginning of the new year will become "fragrant pastry" and is not in a hurry to sell at the moment.

This week, most domestic lint spot quotes remained stable, and local spot prices showed a slight upward trend. Compared with last week, the increase was mostly around 100 yuan / ton, but the overall turnover was still not ideal, and most spinning companies still used the strategy of buying and selling with their products.

According to the latest statistics released by the General Administration of customs, although China imported 108 thousand and 300 tons of cotton yarn in June 2012, the ratio decreased by 13.33%, but it still increased by 120.15% over the same period last year.

According to information, in June 2012, the export volume of cotton yarn in Korea was 4800 tons, an increase of 32.3%, the highest in 10 years.

The strong demand for China's cotton yarn imports is the main reason for the substantial increase in the export of cotton yarn in South Korea.

That month, South Korea's cotton yarn exports to China increased by 79.9% year-on-year.

In 2012 1-6, the total volume of cotton exported to China increased by 112.2% over the same period last year.

According to Fuzhou four Tong fiber and textile department forecast, in 2012, the share of Korean cotton yarn in the Chinese market is likely to reach 37%.

The above information indicates that the import volume of cotton yarn in China is still relatively large, which will have a certain impact on the domestic spinning market. The development of the downstream market will become one of the main decisive forces affecting the cotton price trend.

In July 24th, a report released by HSBC showed that the initial value of PMI in China's manufacturing industry was 49.5 in July, a slight recovery from 48.2 in June, the highest in 5 months, indicating that the early easing measures began to produce results.

Concerned about the upcoming manufacturing industry data in Europe, US factory order data, and us two quarter GDP data, looking for global economic conditions.

Further clues to the impact of the industrial chain.