Cotton: Simply adjust prices remain unbiased

Recent long-staple cotton in the oscillation down. Among these, the market confusion and grief, but also optimism and stick.
June 10 southern Akzo Awat cotton to a cotton prices to 137 ex-factory price 27,800 yuan / ton (public prosecution, including tax) 237 26,700 yuan / ton, fell 200 yuan / ton, 300 yuan / ton. This is a long-staple cotton in the current year after nearly seven months after the first significant fall sharply rise. In fact, lower cotton prices, cotton prices, this is not a case. Akzo same day a cotton prices sharply lower cotton factory price, business executives say that their business processing cotton 4700 tons in 2014, to the current sales 3350 tons, and the remaining 1,350 tons. If on the sales progress, which is a moderate level of local cotton prices, but since early June, just a deal within ten days, the number of 90 tons. Companies believe that if this continues sustained, long-staple cotton is likely to hit in the hand. In view of this, a lot of cotton prices, cotton merchants in cotton prices continued to drift lower in order to promote sales.
Xinjiang Reviewed by market insiders, everyone’s “fear” from this year, the new cotton planting and growing. So far, Xinjiang cotton seedlings have been mostly 20-30 cm, especially early sowing have even reached 40 cm, 6,7 into the first true leaf stage, squaring 2-3 / strains, the individual reaches 4,5 / strain, the entire growth better than last year’s average. Some cotton farmers even optimistic that this year the yield is expected to exceed 350 kg / mu, improve 12-15% compared with 2014. Such a good growing, and allows most of the “hoarding” people panic panic. The market sources said, in 2015 Xinjiang cotton output or 30-35% increase over last year, reaching a record production of 100,000 tons. China’s annual total cotton consumption is only 7.5 to 8.0 million tons, a result, cotton production and demand in China will completely “subversion.” The next year, under the supply and demand loose, cotton will not quickly turned down?
In fact the recent trend has been to make the mainland to Long reflected. June 9 Reviewed Mainland cotton trader, said cotton these days in Jinan and Weifang warehouse is better consecutive days without transaction records, inventories now nearly 2500 tons cotton have been I do not know to whom. June 10 morning, he will be the price down 200 yuan / ton, including 137 corps cotton production offer 28,400 yuan / ton, 237 27,300 yuan / ton, 337 26,200 yuan / ton. He believes that the entire operation cotton this year is “shooting itself in the foot.” First, the cotton price rise, in particular, 2,3, in April this year “only store does not sell,” Let him missed sales opportunities. Second, pre-blind prices, but also made him lose a lot of customers. Now he Jishou cotton, this finding is “no rain, but also ruthless.”
His analysis, the recent cotton face several pressure:
First, cotton yarn into the traditional off-season, high yarn prices. As the week containing cotton combed 50s Shandong factory price 29,100 yuan / ton, compared with earlier this month, down 300 yuan / ton; 100% cotton combed 80s factory price of 55,800 yuan / ton, compared with earlier this month, down 200 yuan / ton . Although price volatility is not, but showing the signal or cause people to worry about. In particular, from June to August is the traditional off-season cotton yarn, in this season, cotton prices will not fall sharply, who is also in doubt. Second, Zheng cotton futures down guidelines. Electronic trading to the “benchmark”, “barometer,” said Zheng cotton futures since June has been swung down to 9 June 1509 Zheng cotton futures contract closed 13,065 yuan / ton, a weak pattern to make confidence plunged. Third, the impact of increased foreign cotton. June 10, Qingdao, Zhangjiagang quality US cotton in RMB 15,700 yuan / ton, slightly worse quality of M-class US cotton price 15300-15400 yuan / ton. US cotton is currently the main port stock large quantity of US cotton in the logistics area has also a lot of clearance, which form a large impact on the domestic.
Since then cotton really moving lower it? There are some in the industry believe that the recent cotton prices down, is not that the turning point comes, but once adjusted for the next walk up the power savings. So cotton 30,000 yuan / ton high point still can touch, businesses, cotton traders can just keep a sense of balance.