Is It A Great Sadness After The Rejoicing? The Cotton Market Is Temporarily Lost.

The market is confused and puzzled.

Many cotton and cotton traders in Xinjiang and the mainland reflect that during such a "boom" period of cotton, the actual turnover is very limited. Although everyone is trying to promote every business, the downstream businesses are ambiguous and wait.

Causing cotton to "empty up".

Even some textile enterprises believe that the current cotton price exceeds the actual price of the market 500-700 yuan / ton, is false inflation, is exaggerated, will be like duckweed, will follow the wave.

There are two big doubts in the market now.

A sharp increase or duckweed will follow the wave.

The recent domestic market trend is confusing.

On the return of the Spring Festival, the price of cotton and the spot price rose together, which triggered the market sentiment.

Some people even set the price of cotton in 2017 to 19000-20000 yuan / ton; in recent days, the market was stagnant and consolidated, and Zheng Mian's 15500-16000 yuan / ton range lingered, and the spot also seemed to touch the ceiling.

The market turned to joy for a moment.

The first big doubt is that spot prices have risen sharply without matching downstream demand.

In February 10th, most of the textile enterprises in Hebei Province were still running at full capacity, but they all held a negative or temporary wait-and-see attitude towards whether the raw materials were purchased in large quantities.

A spinning enterprise in Dongying, Shandong, in February 10th, the prices of C21S, C32S and C40S were 22000 yuan / ton, 23300 yuan / ton, 24500 yuan / ton respectively, all of which rose 200 yuan / ton compared with last Friday.

But spinning enterprises feel that it is very difficult to raise the price of cotton yarn. The downstream fabric and fabric enterprises are almost equal to each other, and they are unwilling to let go of the unit price.

Second doubtful point: Cotton

Big gap, tight supply and demand?

What about the supply and demand of cotton in 2016/17? There are two different understandings of the market.

1, we believe that the gap between supply and demand this year is large.

Statistics show that the whole year of 2016

Output was 5 million 343 thousand tons, down 4.6% from 2015.

This year, the import of cotton is still limited to 894 thousand tons and 1% tariffs, and there is no other principle. Therefore, the supply of cotton is 534.3+89.4=623.7 million tons this year.

The demand is between 850-900 tons, and the gap between supply and demand is as high as 2 million 763 thousand tons.

Such a big gap can only be filled by going abroad to store cotton.

But the national cotton storage wheel will still allow traders to participate. According to the situation in 2016, traders will continue to cause "enough to eat" if they rush to shoot.

Market supply of cotton is still tight.

2, the market does not exist gaps, spinning enterprises can be assured of cotton.

According to the notice issued by the national cotton mill, it will strive to meet the purpose of spinning and weaving textile cotton. The daily output and the departure time will be adjusted according to the market situation. That is to say, the amount of cotton that the market needs and how much the National Reserve will turn out.

With the stock of nearly 9 million tons of cotton stored in the state, there is basically no problem of using cotton in 2017.

The two views are mutually exclusive, and the east wind prevails over the west wind and the west wind prevails over the east wind. This brings great uncertainty to the market.

To sum up, there are two doubtful points in the cotton market, so that the first quarter of cotton will become a fan.

However, we should remind the industry that the risk of cotton in 2017 is greater. We should pay more attention to the operation and pay more attention to it.

For more information, please pay attention to the world clothing shoes and hats net report.