May 5th, the United States

In the real economy has not been much improved, the Canton Fair orders are not optimistic, cotton spinning industry chain in the coming months will be in the state of inventory, cotton is difficult to change the weak, domestic cotton spot prices continue to fall, in the short term, downstream textile enterprises still have no obvious willingness to replenishment, some small textile mills extend the holiday time, ease the pressure on starting, spinning enterprises cotton yarn inventory is increasing, inventory is generally in two months (normal stock half to 20 days), capital turnover is more and more difficult.

The price of imported cotton in China's main port has generally fallen by 4-5 cents, and the recent shipment of E/MOT cotton in the United States has fallen by nearly 8 cents.

The demand for long staple cotton has weakened, and the price of American Pima cotton has also been lowered with Egyptian long staple cotton.

At present, the cotton trader's "buy back" is basically over, but the textile mills' destruction is still continuing. The drying up of import demand at the spot and in the near future makes the market worried about China's cotton consumption.

Along with the deep fall of the domestic and spot prices, the high cotton prices will fall back to a reasonable level sooner or later, and the market will continue to bearish in the near future.