From August 2 to August 31, under the influence of the weakening of the macro economy and the Federal Reserve’s interest rate meeting, commodity prices began to fluctuate widely, among which Zheng cotton fell back from the highest point of 18,505 yuan/ton during the year to around 17,100 yuan/ton. , the cotton market, which continues to receive market focus, has cooled down. At the same time, in order to ensure the cotton demand of textile enterprises, relevant departments decided to stop non-textile cotton enterprises from participating in bidding for cotton reserves, which reduced the market bidding enthusiasm and released a signal that the country regulates the cotton market and maintains industry stability.
Although the cotton market has declined in popularity and cotton prices have been continuously adjusted, the enthusiasm for bidding for reserve cotton is still high. At present, the profit of cotton yarn is lower than that in July, and the yarn price increase has encountered strong resistance to the downstream links. Downstream companies are cautious in purchasing cotton and are worried that cotton prices will continue to adjust sharply. It is understood that although the peak production and sales season of “Golden Nine and Silver Ten” is approaching, yarn orders are showing signs of weakening, and finished product inventory has increased slightly. Due to the current discount of futures to spot prices and the strong willingness to harvest seed cotton in the future, it is expected that the room for a sharp decline in Zheng cotton will be limited.
Round out data from August 2nd to August 31st
China Cotton Reserve Management Co., Ltd. The company has a total of 206,300 tons of cotton reserves listed, including 147,700 tons of Xinjiang cotton and 58,600 tons of real estate cotton.
From August 2nd to August 31st, the average transaction price of reserve cotton was 17,408 yuan/ton, the average price plus 1,871 yuan/ton, discounted to the standard grade (3128) price 18,683 yuan/ton, the highest transaction price is 19,700 yuan/ton, the lowest price is 17,360 yuan/ton; among which, the average transaction price of Xinjiang cotton is 17,461 yuan/ton, with an average price increase of 1,980 yuan/ton; the average transaction price of real estate cotton is 17,275 yuan/ton, with an average price increase 1596 yuan/ton.
</p
