The rush rate of high school is stronger than that of the surrounding commodities.

Important report released last weekend, China policy conference, international stock market

Released by the United States last weekend

Zheng cotton opened for a long time last weekend to shake up the arrangement, and more than an hour before the end of the afternoon, domestic commodities were strengthening.

USDA monthly good news to cash in ICE cotton rush down

Friday's USDA report raised global cotton production and inventories, while reducing global consumption showed signs of high cotton prices inhibiting consumption, but the US stock dropped to 410 thousand tons of good cotton, which led to a sharp surge in cotton during the ICE term on Friday. The contract reached a maximum of 140.95 cents per pound in March, ending up 1.02 cents to 136.97 cents / pound. After some cash gains were made, the cotton prices fell, but overall supply and demand, especially in China, remained tight. This will support cotton prices, and the rebound trend in ICE cotton did not change.

Technically, on Friday, the ICE cotton rush rate fell down and the small Yang closed, the cotton price stabilized on the short-term average line, the short-term average line turned upward, while the KD and MACD index continued to rise, the MACD index red column began to grow, the market increased kinetic energy increased, and the rally is expected to continue.

The expected rate hike in the market is still unsettled. In the early days of the CPI announcement, the Chinese government raised the reserve requirement by 50 basis points to 18.5% in order to replace the market expected rate hike. In November, CPI reached 5.1%, while the central economic work conference decided to stabilize prices next year.

The above policy is the main reason for maintaining the weakness of Zhengzhou cotton in the past week. After the policy pressure is fulfilled, there will be no pressure from the policy in the short-term market. The cotton price will rise at a higher probability of over 27000 yuan per ton.

The rise of cotton will slow down, and cotton market will show weak adjustment later.

ICE cotton futures rose sharply last Friday.

The United States Department of agriculture report is expected to be more profitable, prices will rise after opening, the March contract opened slightly higher, the market began to rise slightly after the beginning of a slight decline, reaching the highest limit, but after a sharp fall, eventually rose 102 points, to close at 1.3697 U.S. dollars.

The recent rise in prices has also benefited from the tight cotton supply situation. The US Department of agriculture report shows that the US cotton inventory at the end of this year is estimated to be 1 million 900 thousand packages, significantly lower than the estimated 2 million 200 thousand packages in November, and the US cotton output is slightly down.

This report is related to the slight rise in global cotton production, and the reduction in consumption and the slight increase in inventory at the end of the year. This is a negative side. This may be the reason why some investors have made profits and the price has dropped from the price limit.

From the current point of view, Lido information has basically been exhausted. Apart from the current supply and demand side, the market is hard to sustain the price increase, and the cotton price rise is expected to slow down.

The cotton market is strong and weak with strong external strength.

Last Friday, in the face of the strong trading limit of ICE cotton futures, Zheng cotton futures barely rose. Overall, ICE cotton futures rose 3.5% last week, while the main contract of Zhengzhou cotton futures fell last week. In recent months, the contract price declined slightly due to spot prices, while the market was weaker than expected in the far months.

The characteristics of the market and the domestic economic policy situation are of great concern. In the face of the economic data released on Saturday, November, the parties are expected to be unfavourable, cautious in performance, less in positions held by Zheng cotton, and partly in risk aversion.

In addition, although the spot performance is relatively strong, but the downstream cotton yarn inventory pressure increased, sales sluggish, some yarn companies began to cut prices.

At present, the cotton market is weak and stable. It is not expected that there will be a big downward trend in the short term.