The spot price of cotton and the price growth of seed cotton have slowed down and the deposits have increased significantly

On the 15th, the continuous decrease in the price of electronic matching cotton led to a slowdown in the spot price of domestic cotton and the growth of seed cotton prices. The turnover of the deposits increased significantly from last week, indicating that some processing companies still tend to be cautious and choose to be safe. In the post-holiday textile enterprises, the situation of production reduction, production restriction, and production suspension is still widespread, and cotton consumption has continued to decline, and demand for cotton is unlikely to increase significantly. Exports of textiles and garments are not optimistic, while the domestic demand for short-term driving ability is limited, and cotton still has downward pressure.

The price of imported cotton in China's main port has steadily increased, and the rate of increase has significantly contracted. Most varieties have only increased by 0.25-0.5 cents. At present, the cotton price gap between domestic and foreign countries has remained high, textile mills have a soft spot for imported cotton, but there are purchases of textile mills with orders, the overall market demand is still weak. Analysts said that if China’s demand does not start on schedule, it is very difficult for cotton prices to rise sharply under loose fundamentals.