Ginned Cotton Prices on March 18th

By CnAgri2013-03-20 11:08:35 Print In terms of currency, USD generally appreciated. RMB appreciated slightly against US dollars, which lowered price of domestic bulk commodities. Supported by relevant policy and supply and demand expectation, domestic market price increased slightly.
 
Recently cotton comprehensive price decreased first and then increased and it rose to RMB17146Yuan/MT on March 18th. and both spot price and futures price saw certain increase. International agencies speculated on import quota of State Reserves and influences of cotton planting areas’ significant decline.
 
Cotton comprehensive price decreased slightly compared with price of last term according to the weekly price. Both spot price and futures price in international market increased a certain extent. Especially influenced by exports of textiles and garments in February, global demand went up, which promoted cotton price to increase.
 
Price difference between domestic and international cotton declined dramatically compared with before. Spot price difference reached 31.70% of domestic price, the lowest point since mid-May 2012 and futures price difference, 38.38%.
 
Domestic cotton price saw inversion and futures price was RMB415/MT higher than spot price and the price difference was basically normal at 2.14%.



From “China Cotton Bi-Weekly Market Report”