The Future Of China'S Cotton Reserves Is Very Complicated.

In May 3rd, the reserve cotton was officially traded, and the sales volume of the store was 30 thousand and 300 tons, with a turnover of 30 thousand and 100 tons, with a turnover rate of 99.32%, of which 22 thousand and 100 tons of imported cotton were all sold. The starting price of a bundle of Jiangsu cotton was 11080 yuan / ton, the paction price was 13820 yuan / ton, and the premium was 2740 yuan / ton.

It is understood that a large part of cotton mills and traders have low raw materials inventory (3-7 days), and look forward to a breakthrough in the last month's demand.

Overnight, "the chicken becomes Phoenix".

High quality cotton purchase can even be described as "hungry for food". In the 2012 tons of imported cotton, Australian cotton and American cotton can be described as "elite". The auction price is low, the cotton spinning ability is good, and the enterprises that attract high count cotton yarn are competing to enter the market. At present, the shipping date is SM 1-5/32. The price of Australian cotton is 78.75-79.20 cents / pound, the price of 1% tariff is 13000-13050 yuan / ton, the 1% tariff quota pfer price is included in the cost, the cost has reached 14000-14300 yuan / ton, and the auction price of 13820 yuan / ton of Chen cotton is still within the rational scope of the price of 22 thousand and 100 cotton.

The US stock market has fallen sharply and the US dollar index has rebounded, which has led to a sell-off of commodity futures in China and China.

High quality cotton (especially imported cotton, cotton and West African cotton in 2012) has increased the liquidity of resources and the progress of signing the US cotton contract in 2015/16 is obviously lagging behind the previous few years. The ICE main contract has been shaking back after breaking through the resistance level of 64 cents / pounds (high point 64.75 cents / pound), the investment fund and the cotton enterprises have not enough confidence, and the May 3rd low point is close to 62 cents / pound.

Port spot, since late April, bonded and spot.

Enquiries and shipments are relatively active, mainly due to the high quality of Xinjiang cotton in 2015/16, which has basically been exhausted. Most of the ports, cotton and American cotton are picked up by Chinese buyers. The quality can not meet the needs of some enterprises to spin high count yarn and combed yarn.

The national cotton store usually takes about a week from auction to entry, and buyers can only buy the "big cotton" pition with large quantity and stable quality.

At the same time, export enterprises and traders expand the bargaining space of uwu, and some traders even callback 0.30-0.50 cents / lb.

Some traders believe that the ICAC and other agencies have increased the cotton production in the global and some countries in 2016/17, and the supply and demand pressure balance point is again biased towards consumption.

With the gradual adjustment of cotton control policies such as China and India, the intensity of speculation has been convergent, and the fundamentals of cotton have been enhanced. The cotton seed reduction rate in China's Xinjiang and mainland cotton areas is lower than expected; as of May, 2 cotton planting progress reached 16% (15% in the same period last year); Australian cotton ushered in a larger range of rainfall, which was conducive to cotton planting; in 2016, the growth of cotton growing area in India was expected to be stronger.