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From May 30 to June 5, the recent domestic cotton prices have been stable, sales of the State Reserve Cotton are still relatively hot, and the supply of textile enterprises is relatively abundant. Traders are actively bidding. Recently, the growth of cotton in the inland cotton region is generally good. The Yellow River valley is arid and less rainy, which is conducive to the growth of cotton. At present, most of the plant heights are 7-15 centimeters, and fewer diseases and insect pests occur. The overall situation is better than the same period of last year. Xinjiang cotton area is bad because of bad weather. Poor growth, cotton farmers expect production and quality are not optimistic. In the near future, spot sales are still slow. As of June 5th, the price of 3128B cotton in Dezhou, Shandong Province was 12,450-12,550 yuan/ton, which was generally stable. The price of 3128C grade cotton in Jiangsu and Hubei provinces was at 12200-12250 yuan/ton. According to the ginning factory, although there are not many sources of supply in the hands of the people, due to the slow sales for a long time, the pressure is very high. During the week, futures prices fell sharply. As of June 3, Zheng Cotton’s main CF1609 contract closed at 12,470 yuan/ton, down 630 yuan/ton from May 27, and futures prices fell sharply, adding to the market's bearish atmosphere.
In terms of yarns, due to the transition of cotton yarn into the off-season, sales of cotton yarns have been slow, and individual manufacturers are still selling at a reduced price. On the 5th, the prices of 21S, 32S, and 40S carded by a factory in Shandong were 18,000 yuan/ton, 19,400 yuan/ton, and 22,000 yuan/ton, respectively, which were the same as the previous week. The prices of 21S fell by 50 yuan/ton, and the rest remained unchanged. In addition, although the price of air-jet spinning is stable, due to the increase in government pollution control and the decrease in downstream demand, corporate days are even more difficult. A company official said that only 60% of the operating rate can now be maintained, and product inventories are also showing up. According to him, if the market does not improve, their factory will only be closed. As of the 5th, the current OEC7S offer price of 12,100 yuan / ton, OEC10S offer at 12,500 yuan / ton, down 50-100 yuan / ton from last week. The market for high-yield yarns is generally weaker. The 100% long-necked-cotton tightness rate at a certain factory in Jiangsu is 80S at a price of 56,000 yuan per ton, unchanged from last week. However, the company stated that due to the fact that it is still based on old customers, old customers are also getting rid of.
In terms of external yarns, demand was weaker during the week, and prices fell back. According to traders, during the week, demand for 32 yarns and 32/2 strands was relatively strong in the imported yarn spot market, and prices stabilized at around RMB 20,200/tonne and RMB 26,800/tonne. The demand for 21 yarns was relatively light, and more domestic yarns were converted to downstream products. The transaction price was around 18,100 yuan/ton, and the prices dropped. The low price of ring spinning and siro spinning in the Guangdong market was relatively high. Demand was weak and the prices remained stable and fell. At present, the external yarn inventory in the bonded zone is between 80,000 and 83,000 tons, and it is still at a high level.
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