Zheng Cotton Futures Shock Down The Spot Market No Improvement.

Since entering the new cotton year, the focus of Zhengzhou cotton futures market has continued downward, and the psychology of cotton enterprises has been challenged, and the difficulty of spot market sales has increased. Most people are pessimistic about the market outlook.

In November 6th,

The mainstream purchase price of seed cotton is 3.30--3.40 yuan / jin (lint rate 38%, moisture regain 13%), a decrease of 0.10 yuan / Jin compared with the same period last week, and the number of Japanese acquisitions continues to decline as the price declines.

Cotton picking in Hebei has completed more than 90% cotton picking.

Also very helpless, reluctant to sell more serious psychological, some cotton farmers said this year, anyway, have to wait until the Spring Festival before and after sales.

With the continued decline in the purchasing price, the enthusiasm of Cotton Traders has also declined. Some cotton traders say the weather is getting colder and colder. If the market does not improve, they will stop purchasing.

At present, the sales price of Hebei cottonseed is 1.07 yuan / Jin, down 0.05 yuan / Jin compared with the same period last week.

The main reason for the decline in prices is: first, with the acquisition and processing of seed cotton, the number of cottonseeds listed is increased and prices are reduced; two, seed cotton purchasing prices continue to fall, leading to lower cotton seed prices; three, cottonseed oil and cottonseed meal products continue to be weak, and the turnover is not good.

It is understood that, according to the 2% loss, processing cost of 500 yuan / ton, the current seed cotton purchase and lint production costs in the 14500--15000 yuan / ton, last week production costs in 14850--15400 yuan / ton.

Zheng's market continued to go down, resulting in weak market consolidation and poor turnover.

Although nearly two days

There has been some stability, but the market is still in the doldrums. Sales prices remain weak.

At present, the sales price of the 3128 grade new real estate cotton is about 15000 yuan / ton, and the sales price of Xinjiang new cotton is 16300-16400 yuan / ton, and the "double 28" grade lint sale price is 15800-16000 yuan / ton, 21/31, which is down by 100--200 yuan / ton compared with the same period last week.

Downstream

The impact of the weakening of operations has been difficult for new cotton sales. Most cotton companies want to use futures to carry out hedging business. However, the futures market is now in a downward trend, and is now in an upside down business. The inventory level of enterprises is relatively high, and the pressure on capital occupation is relatively high. The purchase of seed cotton is temporarily in a state of stagnation.