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Compared with last week's trading volume of pure cotton yarn market, there is little change, and more textile enterprises go with the price

In terms of epidemic situation, according to the data of Hopkins University, as of 16:32 on the 30th of Eastern time (4:32 on the 31st of Beijing time), there were 6003762 confirmed cases and 367356 dead cases in the world. In the United States, 1764671 cases were confirmed and 103605 cases died.

In foreign countries, on May 21, 2020, India launched an anti-dumping investigation on polyester yarn originating or imported from China, Indonesia, Nepal and Vietnam. In 2019, the export volume of China's pure polyester single yarn to India is 211 tons, accounting for 9.66% of the total export volume, ranking the third in the export. As a country that relies on raw and auxiliary materials provided by China to operate, the anti-dumping launched by it has far-reaching significance. In May, European epidemic control measures were gradually relaxed, and many countries began to return to work. Recently many textile owners said that foreign inquiry orders began to increase. With the gradual recovery of the consumer market and the introduction of supporting policies, it is expected that the operation level of the cotton textile and clothing industry will be significantly improved in the second half of 2020 compared with the first half. In the long run, the epidemic has magnified a series of problems in the global cotton textile industry chain, and China's textile enterprises are still facing severe situation.

In the domestic situation, from January to April 2020, the online retail sales of commodities in China reached 3069.8 billion yuan, an increase of 1.7% year on year. Among them, the retail sales of physical goods reached 2575.1 billion yuan, an increase of 8.6% year on year. Among the physical goods, the sales volume of physical goods for clothing decreased by 12% year on year. In terms of textile export, from January to April 2020, the cumulative export of textile and clothing reached 466.4 billion yuan, down 7.4%, of which 261.3 billion yuan, up 5.9%, and 205.1 billion yuan, down 20.2%. In April, textile and garment exports reached 150.17 billion yuan, an increase of 14.8%, including 102.79 billion yuan, an increase of 56.2%, and 47.38 billion yuan, a decrease of 27.1%.

Upstream: this week, the cotton spot price slightly declined while the spot trading atmosphere slightly declined. The trading atmosphere of viscose staple fiber market has improved. This week, direct spinning polyester short high turnover light, inventory began to accumulate.

Yarn: the cotton yarn market has not changed much this week. The relatively stable price is still weak. The price of pure polyester yarn mills is stable and the sales are weak. This week, the human cotton yarn market performance is flat and the market lacks vitality.

Downstream: this week, the sales of cotton grey fabric market turned weak, and the price of grey fabric was weak and stable as a whole.

In general, the prices of pure cotton yarn, human cotton yarn, polyester viscose yarn, cotton viscose yarn and pure polyester yarn are stable this week, and the prices of polyester cotton yarn are rising.

The rate of yarn start-up has increased slightly, and the textile enterprises have more goods at the same price, and the profit is generally poor.

[market overview of the week]

This week, the prices of pure cotton yarn, human cotton yarn, polyester viscose yarn, cotton viscose yarn and pure polyester yarn are stable, and the prices of polyester cotton yarn are rising. The rate of yarn start-up has increased slightly, and the textile enterprises have more goods at the same price, and the profit is generally poor.

In terms of yarn this week, the market turnover of pure cotton yarn has not changed much compared with that of last week. The main reason is that conventional combed varieties, especially 40, support fast continuous delivery. The shipment of other varieties is relatively light, the price of cotton yarn is more stable, and the profit of spinning enterprises is generally poor. The price of pure polyester yarn mills has been stable and the sales are weak. It is expected that the price of yarn mills will decline after the end of raw materials has no support. This week's cotton market performance is flat, the market is lack of vitality.

In terms of grey cloth market, according to the volume statistics of China's light textile city market, the total sales volume of grey cloth this week was 30 million meters, an increase of 2.43 million meters over last week. Among them, chemical fiber cloth sold 25.46 million meters this week, accounting for 63.7% of the total sales volume; all cotton cloth sold 2.71 million meters, accounting for 6.78% of the total sales volume; human cotton cloth sold 4.58 million meters, accounting for 11.5% of the total sales volume. Compared with the previous week, the grey fabric inventory increased slightly this week.

Price difference structure and arbitrage analysis

As of May 29, China's Cy C32 price is 18700 yuan / ton (0), India's c32s price is 18300 yuan / ton (0), the price difference is 400, Vietnam's jet c32s price is 18500 yuan / ton (0), and the price difference is 200, so there is no arbitrage opportunity.

[technical analysis]

This week, the cotton yarn cy009 contract continued to be arranged in horizontal plate, with the vibration range of 17800-19350 yuan / ton, the highest price of 19520 yuan / ton and the lowest price of 19050 yuan / ton. On May 29, the contract position of cy009 was 8313, 13 fewer than that of the previous trading day.

[future prospects]

This week, the contract price of cotton yarn cy009 continued to be adjusted by horizontal plate, with the operating range of 17800-19350 yuan / ton. Compared with last week, the pure cotton yarn market has not changed much in terms of trading volume. The textile enterprises are more in line with the price, and the profit is generally poor. The orders received by the textile factory are mainly domestic orders, and the purchase orders are not very good. It is predicted that the order link will be difficult in June and the yarn price will be weak. It is suggested that speculators wait and see.