Domestic And Foreign Cotton Prices Continue To Shrink, The Market Is Optimistic.

Before the Federal Reserve raised interest rate decision, the commodity market and ICE futures were dominated by small and upward oscillations. The "wait and see" and "wait" emotions of the two sides were dominant and investors were very cautious. Basically, the United States cotton entered the picking process, and the overall picking progress was slower than in previous years. But in the central part of Texas, the picking rate was nearly 50%, and the quality and quality of cotton were relatively good.

Cotlook expects India's planting area to decrease slightly from the same period last year, but the yield per mu may exceed last year. The total output is higher than the 37 million packs of the pre Cotlook forecast, and the remaining 2 million 200 thousand packages are still in the CCI.

The fundamentals of the three major cotton regions are small.

According to Qingdao,

Port traders such as Guangzhou and other places reflected that, due to the serious shortage of cotton import quotas within 1% tariffs, plus the high quota resources in the hands of large operators and cotton mills, although the difference between domestic and foreign cotton prices continued to shrink, the price difference between the EMOT SM and the Xinjiang 2128 in the bonded area has been reduced to less than 1000 yuan / ton, but the pfer price of the quota still reaches 1700-1800 yuan / ton.

Since the middle of September, the mainland

To achieve "double 28", "double 29" high quality Xinjiang cotton is very few, the quoted price also has 100-200 yuan / ton's rise, therefore some Chinese buyers have made an increase in the Australian cotton and the American cotton inquiry and the goods to see, but the import quota is limited to the biggest obstacle to the sale of the outer cotton.

Some institutions and cotton traders believe that because of the early start of the US cotton pre sale and the good signing situation in 2015/16, and the global textile market is gradually changing to the traditional peak season, it is expected that the downstream market will have a good turn and have a certain support for cotton price. Therefore, the main contract of ICE is backed by 61 cents / pound, and the consolidation in the 63-68 cents / pound compartment is a big probability event.