Weekly Market Dynamics (December 30, 2019 -2020 January 5Th)

Raw materials: cotton prices are rising, viscose staple fiber prices are rising, polyester staple prices remain stable during the week.

Product side: the cotton yarn market is slightly warmer, and the grey fabric market is running weak.

First, cotton prices are rising, and cotton reserves are closed to zero.

During the week, the signing of the first stage agreement between China and the United States was conducted in an orderly manner and the market was bullish. After the new year's day, the situation in the United States and Iran deteriorated, and the demand for safe haven assets was stimulated, and the dollar index and the RMB exchange rate rose. Against this background, domestic cotton spot prices have risen all the way, and the international cotton price oscillation has risen. Specific data, domestic 3128 spot cotton spot average price 13350 yuan / ton, compared with the previous week rose 306 yuan / ton, Zhengzhou cotton futures contract settlement price 14145 yuan / ton, compared with the previous week rose 570 yuan / ton; CotlookA index average price 78.04 cents / pound, compared with the previous week rose 0.56 cents / pound, New York cotton futures contract settlement price 69.28 cents / pound, compared with the previous week rose 0.55 cents / pound.

In terms of cotton reserves, Zhou planned to purchase 28000 tons of Xinjiang cotton, and the actual turnover was 0 tons, with an average turnover rate of 0%.

When the domestic cotton price rose higher than the foreign cotton price in the week, the price of cotton upside down at home and abroad was narrowed, and the spot price of domestic cotton was lower than the spot price of foreign cotton on average 116 yuan / ton.

　　 Cotton price trend at home and abroad in 2019

Two, viscose staple prices continue to rebound, polyester staple prices remain stable during the week.

When the viscose staple market was stable in the week, part of the textile enterprises staged a replenishment, and viscose prices showed signs of recovery. The price of PET staple remained at the end of the week, unchanged during the week, and the weekly average price was lower than that of the previous week. Specific data, viscose staple average price of 9443 yuan / ton, compared with the previous week rose 19 yuan / ton, polyester staple average price of 7055 yuan / ton, compared with the previous week by 17 yuan / ton.

　　 Price chart of chemical fiber staple in 2019

Three, the cotton yarn market is slightly warmer, and the gray fabric market is running weak.

In the week, the cotton yarn market remained stable, and the price of pure cotton yarn increased as cotton prices rose. Specific data, domestic 32 cotton combed yarn spot price of 20373 yuan / ton, compared with the previous week prices rose 168 yuan / ton.

Affected by the rise in cotton prices and the smooth implementation of the Sino US trade agreement, the quotation of imported yarn was raised at the beginning of the week, and remained stable during the week. The weekend rose again and Vietnam's cotton yarn rose to 200 yuan / ton during the week. According to specific data, the average price of 32 Cotton Combed Yarns in India is 20325 yuan / ton, up 195 yuan / ton compared with the previous week, and the average price difference of 32 cotton combed yarn is 48 yuan / ton, and the average price of 32 cotton pure cotton carpets in Vietnam is 20100 yuan / ton, up 240 yuan / ton compared with the previous week, and the average price difference between domestic and 32 cotton pure cotton combed yarn is 273 yuan / ton.

When the gray fabric market gradually entered the closing stage, the turnover fell after the new year's day, and the price was weak. Specific data, pure cotton grey fabric (32*32 130*70 2/1 47 "twill) average price of 4.80 yuan / m, and the price of the previous week was unchanged.

　　 Price chart of cotton yarn at home and abroad in 2019

　　 2019 price chart of gauze products

Four, outlook for the future

At present, the situation in the Middle East is becoming increasingly tense, triggering global market volatility, and financial market risk aversion is heating up. At home, the market is waiting for the signing of the first stage agreement on Sino US trade. In the short term, the price of cotton will be greatly influenced by the macroeconomic environment. As the new year is approaching, the stock of some textile mills has increased. It is expected that the price of cotton yarn will continue to rise slightly, and the price of grey cloth will remain stable.