Spot Hot And Cold Uneven Cotton Enterprises Increase

According to the feedback from cotton processing enterprises and traders in Xinjiang, due to the fact that Zheng Mian cf205 contract continued to be in the range of 15500-16000 yuan / ton (the fluctuation range was significantly narrowed compared with the previous period, and the panic of cotton textile mills and downstream consumer terminals was relieved), the situation of receiving orders in March / April / May was relatively good, and the profits of cotton yarn and polyester cotton yarn were relatively high. In the past week, cotton enterprises were more active in inquiry and replenishment, and the price was counted Compared with the late February, the buy it now price transaction has increased significantly, but the basis sales are not warm and the performance is somewhat cold.

The recent cotton market has the following three characteristics: 1. A large number of low-cost bills from the hedging traders and futures companies depress the spot selling price of Xinjiang cotton; the textile enterprises and middlemen in the mainland also purchase mainly from the traders' mid point price rather than directly from the ginning plant; 2. The price difference of Xinjiang cotton with high and low quality indicators is large, especially the late flowers of light spot contaminated cotton and yellow dyed cotton The price is on the low side, and some cotton merchants and low count yarn spinning enterprises are pressing down the grade and price. In March, January and March, the transportation of cotton by highway and railway has been in full swing, and the price difference of cotton inside and outside Xinjiang has dropped from 600-700 yuan / ton in the early stage to 300-400 yuan / ton.

According to statistics, as of March 16, there were 17486 (- 81) Zhengzhou cotton warehouse receipts and 3389 effective forecasts, respectively, down 51.05% and 25.73% compared with the same period in 2019 / 20, and the proportion of effective forecast decline decreased from more than 60% to about 25%, indicating that under the Zhengzhou cotton cf2105 contract falling below 16000 yuan / ton and 15500 yuan / ton, Xinjiang cotton processing enterprises and traders are more willing to apply for warehousing, register warehouse receipts and hedging There was a big recovery in February.

According to the survey, capital pressure of some cotton enterprises in Xinjiang will gradually increase from March to may, and the enthusiasm for selling cotton will decline. On the one hand, loans from agricultural development bank and other commercial banks should be returned in proportion before the end of May, so as to pave the way for the application of credit funds in 2021 / 22. On the other hand, from the perspective of time, the equipment renewal, transformation, plant and workshop maintenance of cotton ginning plants will also start in May and June Moreover, in terms of time, the payment recovery time of zhengmian cf205 contract delivery is relatively long, which is not conducive to timely repayment of credit funds and pledge financing funds. Therefore, arbitrage operation or direct spot sales are mainly used. It is expected that Xinjiang cotton's road transportation to the mainland will gradually weaken and cool down after May.