Zheng Cotton Futures Fell To The Top, And Cotton Enterprises Are Firmly On The Rise.

As the development and Reform Commission issued the notice on the issuance of quasi tax quotas for cotton imports in 2019, Zheng went out of the "roller coaster" market, and the CF1905 contract opened up 15500, 15600 yuan / ton, but the bull did not keep it.

In April 17th, the intraday low fell below 15400 (15355) yuan / ton, ICE rose, cotton control policy and March central bank credit, social financing exceeded market expectations and other good news, failed to stop the pace of Zheng's top down, but from the position, reducing positions and technical aspects, the current round of Zhengzheng rebound did not end.

Compared with ICE and Zheng's wide fluctuation, the cotton spot quotes in recent days have shown a trend of "small steps, fast walking and firm upward". For the issuance of import quotas or the negative impact on domestic cotton market, cotton ginning plants and cotton traders are often calm. "Let it be southeastern and Northwest wind, and I will remain calm."

On the one hand, the issuance of 800 thousand tons of quasi tariff quotas is expected. The bad profit has been digested in advance. On the other hand, the high quality and high-grade cotton resources imported by the Chinese enterprises in the 4-9 months are relatively limited. Moreover, before the Sino US trade consultation fails, it is very difficult for us cotton to enter the domestic market.

It is understood that at present, the price quotations of high-quality cotton enterprises such as "double 28/, double 29" and other high quality cotton enterprises are larger than before. A handful of flower mills are raising their space to keep up with the main contract of Zhengzhou (only rising or falling). In the southern Xinjiang, Korla, Akesu and other places are "double 28" hand picked cotton weight quotes ranging from 15800 yuan / ton to 16100 yuan / ton, while the "double 28" machine pick up cotton price quotas also climbed to 15800-15900 yuan / ton (impurity 2.5%-3%), and the price of machine picked cotton and hand picked cotton was even reduced to 50-100 yuan / ton.