资讯 1 10 英文网 283 Cotton News 572446 China Cotton Weekly (July 10, 2017) 2017-07-10 15:58:32 yangfang
Home  >>  News  >>  Cotton News
China Cotton Weekly (July 10, 2017)
2017-07-10

Domestic spot price eased lower in the week ending July 6. Cotton futures prices in both domestic and world market consolidated near recent lows. Pakistani cotton price plunged. China’s cotton VAT was lowered by 2 percentage points to 11%. International Cotton Index (Yuan equivalent) registered a major decline from a week earlier. 

  

Cotton yarn prices dropped slightly last week. Polyester staple moved higher. Foreign yarn quotes continued to fall. 

 

  

Expanded cotton spread 

 

On July 6, International Cotton Index (M) was equivalent to an import cost of 14131 yuan per ton based on 1% import tax and current exchange rate. This is 1731 yuan below domestic equivalent quotes, an expansion of 354 yuan from previous week. Indian S-6 was equal to 14467 yuan, 1395 yuan below domestic styles, and an expansion of 436 yuan from previous week. Pakistani price was equal to 12340 yuan, 3522 yuan below domestic styles, an expansion of 1352 yuan from a week ago. 

 

  

Cotton yarn spread narrowed 

 

On July 6, Vietnam C32S carded yarn was equal to 23538 yuan, 283 yuan higher than domestic styles, a decrease of 105 yuan from previous week. Indian C32S carded yarn was 23770 yuan, 515 yuan above domestic price, a reduced of 23 yuan from a week ago. Indonesian C32S carded yarn was 23937 yuan, 682 yuan higher than domestic price, a decrease of 107 yuan from a week ago. 

 

  

The cotton/yarn spread and cotton/polyester spread decreased. 

 

This week, cotton/yarn spread (C32S-T3128B) is 7393 yuan, a decrease of 16 yuan from previous week. Cotton/Polyester spread (T3128B-Polyester staple) is 8012 yuan, a decrease of 304 yuan from previous week. 

 

  

Reserve clearance fell in the past week. June 30 to July 6, reserve tender totaled 149000 tons. Sales totaled 81300 tons or 54.58% of the tender, down 9.61 points from previous week. Average price is 14835 yuan, up 133.8 yuan from previous week. Sales of inland reserves totaled 26400 tons, or 28.03% of the offer, down 17.42 points from previous week. By July 7, cumulative reserve sales reached 1.78 mil tons, 67.98% of the total offer. Average price is 14952 yuan, or a T3128 equivalent of 15814 yuan. 

  

China’s new crop is doing well at present. Physical trade appeared flat. High temps in Xinjiang boosted new crop development. Inland areas received a wide-spread rainfall, which bodes well for squaring. Physical price remained weak and ZCE stock is flowing out slower than a week earlier. Mills are showing reduced interest in ZCE stock. Cotton yarn orders are generally declining and some mills suspended a portion of their capacity.