Since the end of July, reserves of cotton prices in a down state, which these days has slightly improved. But lots sold early at 60%, slightly better there is no reversal of the weakness in late August. From the present seed cotton purchase prices, textile enterprises believe new cotton price 14500 Yuan/ton, the price compared with the price of cotton reserves, it is a bit high.
Market analysis: market dynamic grasping
As we all know, textile industry in September, he opened a small season. But as far as I know, the current cotton market continues to be weak. The early weakness continues. Even some business reaction small season available now than ever before!
Large stock is one of the textile enterprises have a headache. Current cotton prices moderated but still continued to decline. Downstream order cannot meet the needs of small season. In terms of price, many textile enterprises have lost confidence. A vicious, no substantial order and raw materials to turn things around, give up the confidence to do so. Shipping is at favorable price, prices continue to fall, in the case of cotton prices begin to stabilise, the recent declines.
At present, the textile parts of huge losses, before the G20 Summit caused a lot of textile enterprises in production of printing and dyeing enterprises to stop production. Even some printing and dyeing enterprises closed atmosphere of pure cotton yarn shipments out of it. But there are still many varieties are profitable. Currently high distribution yarn of profit level compared ideal, and middle and low C40S is sharply losses up 1000 Yuan/tons, this situation has maintained has near 1 months of time, shipping not shun and long time of sharply losses makes part spinning enterprises was burden, recently discontinued limiting of enterprise gradually increased, addition also has spinning enterprises will part equipment production C21S or C32S, other profit level relative better of varieties. Production also contributed to the market's malaise.