Policy Cotton City "High And Stable" Rules Promulgated Cotton Prices Plummeted

After the April sale of the new deal, the domestic cotton market once again returned to the "smooth" running period of a slight decline in May.

This stage is still sold by the State Cotton store to sell the "policy cotton market" monopolized by itself, after selling the new price through the national cotton sale.

The "standard" of "standard", cotton prices tend to "high and stable", cotton textile enterprises to buy cotton main channel "fixed single, one and one" (auction national storage cotton).

High grade lint resources lack of futures and Futures

They are all trading at a slack and no cotton can be sold. The price is only a small consolidation trend of the national sale of cotton to sell the actual paction price.

Its price has deviated from the market authenticity, and it is difficult to reflect the actual market value of cotton.

Although the sale of state-owned cotton stores is still running steadily and steadily, the number of auctions continues to decline relative to the high temperature in the first half of April and the heat gradually cooled.

In the last 1 months of the 2013/14 cotton year August, the implementation details of the cotton new deal "direct subsidy" have not yet been published, and the domestic cotton market lacks direction. The market is in a confused atmosphere for the new year cotton price to fall.

Statistics in mid 5-9: China's cotton price index CCindex3128B decreased by 635 yuan / ton, a decrease of 3.62%. In September 16th, it ran at 16883 yuan / ton price, which was 483 yuan / ton higher than that of electronic matching 1409 contract, and 2238 yuan / ton higher than that of Zheng cotton futures 1411 contract.

From mid September to mid October, the cotton market launched its second "cliff style" decline.

In September 17th, China's cotton target price subsidy rules issued a stir for the relative "smooth" movement of the cotton market, both inside and outside cotton prices fell, and within cotton fell more than cotton, the difference between inside and outside cotton prices quickly narrowed to around 1200-3700 yuan.

In 2014/15, domestic cotton prices finally came out of the "policy cotton market" and began to be regulated by the market.

Domestic and foreign

Gradually, the domestic cotton price has been gradually closed to the price of imported cotton ports.

Due to the end of the end of August, the listing time of the new flower was postponed compared with the previous years. The cotton market experienced the supply of "vacuum period", and the textile enterprises purchased some cotton from abroad, resale of the national cotton store and Xinjiang corps cotton and so on.

Although many textile enterprises are in urgent need of inventory, they are still buying and buying to reduce risks because they expect cotton prices to drop.

In addition, the national cotton subsidy policy has fallen to the ground, but the specific price of subsidies is the average price of 9-11 months. The cotton mill will not be able to calculate the cost until November. The market can not see the bottom of the cotton price, causing the cotton farmers unwilling to sell, and the cotton industry and the industry will not dare to accept the stalemate that the cotton textile enterprises dare not buy.

From mid September to mid October, China's cotton price index CCindex3128B decreased by 2114 yuan / ton, a decrease of 12.52%, and a price of 14769 yuan / ton in October 20th.