The Main Source Of Supply Of National Cotton And Xinjiang Cotton To Cotton

In August 7th, the number of cotton reserves was 50619.8538 tons, and the actual turnover was 217.9476 tons, with a turnover ratio of 0.43%.

A total of 1 enterprises involved in bidding success.

According to statistics, as of August 7th, the cumulative turnover of cotton reserves totaled 42129.744 tons, with a turnover ratio of 4.06%.

Obviously, the market supply is adequate, but the acceptance is low, and demand is still low.

The near future,

Zheng cotton rebounded slightly after a small downward trend, close to the lowest point of the previous period.

However, according to the reporter, because the cotton price is low in recent years, the planting area has been greatly reduced. From the domestic fundamentals, domestic cotton is expected to reduce production by 14%, and its output will be about 5 million 500 thousand tons.

The 7-8 month is the cotton Bolling period and the peak period of fertilizer demand. However, this summer, the whole country is not flooding or drought, plus high temperature, which is unfavorable for cotton production. The cotton production situation in the mainland is not optimistic. This also affects the cotton output this year.

Nevertheless, the futures market is still looking at cotton prices, and analysts in Yantai are still watching the trend of cotton in the future.

"Cotton production also can not change the situation of decline."

Leng Yudong, Zhongzhou futures Chemical Research Institute, admitted that in the 3 years of cotton storage and storage, domestic cotton was replaced by a large number of chemical fibers, and the chemical fiber products had a good development in terms of comfort, functionality and product profits.

In addition, imported cotton yarn has obvious substitution for domestic cotton consumption. When the domestic cotton price difference is obvious, the import enthusiasm of traders is higher. The path and channel of imported yarn entering the domestic market are gradually opened up, and some weaving factories have gradually adapted to the production of imported yarn.

At present, the absolute price of cotton has been at a low level and there is still limited room for further downlink.

Gu Renhui, marketing director of Dongxing Futures Limited, also believes that the future

The trend is still going down.

Though cotton is seen from home

Cut down, but the inventory pressure is high, and the whole economic environment is bad. A large number of textile factories are closed down, and the demand is also small. "It's hard to change the situation at one thirty."

Then, when will cotton prices change?

Leng Yudong believes that cotton will begin to enter the inventory cycle in 2015-2016, but the inventory pressure is still large, the pace of global economic recovery is still slow, coupled with the downward trend of domestic economic growth, the overall look at the possibility of the bottom of the cotton price volatility is greater, cotton prices need to be low for more than half a year, so as to attract textile and garment enterprises to increase the amount of cotton consumption to bring consumption growth. It is difficult to have a trend rise before the second half of 2016.

For cotton, in August, in the month of the old and new year's handover, the sale of State Reserve and Xinjiang cotton became the main source of supply of cotton on the market.

In the new year, the state should also carry out the rotation of reserve cotton.

However, even in the case of a new round of domestic cotton production will decline, the futures market is still not optimistic about the future trend of cotton prices, Yantai futures analysts believe that the high inventory, low demand market, cotton is still empty.