Raw material purchase and inventory

In late June, Sino US trade released favorable signals, textile market slightly improved, cotton prices rose at home and abroad, and enterprises bid for cotton warming rebounded. In June 26th, Xinjiang's 3128B class machine picked cotton was quoted at about 14200 yuan / ton, up 500 yuan / ton compared with the first half of June, and the average price of cotton reserves was 12957 yuan / ton, up 200 yuan / ton compared with the first ten days of June. At present, the price of textile downstream products is weak. If the cotton spot production is purchased, it will be in a state of loss even if it is used with the purchase. Only using more cotton reserves and cotton can make a profit. Textile enterprises have increased the enthusiasm of auction cotton reserves, and the turnover rate has risen to over 90%.

Because of the recent fluctuations in cotton prices and the relatively adequate supply of cotton, it is difficult for yarn products to follow the rise in cotton prices. In order to avoid risks, textile companies remain low, and most cotton stocks remain at about a month.

Production and sales of products

The start-up of enterprises is still poor. The number of enterprises with insufficient start-up capacity is more than 60%. Some enterprises reduce their working hours by adjusting their schedules and so on.

As the price of raw materials increased, yarn products stabilized and the prices of individual products rose slightly. In June 26th, the price of C32S combed yarn was around 21200 yuan / ton. Downstream demand has not been greatly improved, the market is flat, the stock yarn is generally in 1-2 months, and the stock market is still dominated by stock, and the market liquidity of yarn has been enhanced. In addition, in order to control costs, some enterprises have increased the amount of raw materials such as chemical fiber.

Expectations for future market

Enterprises believe that the uncertain factors such as Sino US trade friction are the dominant force in the textile market trend. Under the background of normalization of trade friction, the market is facing greater challenges. At present, the focus of the market is whether there will be substantial progress in the summit meeting between the two leaders of the G20 summit. If we continue to release the good news, the market will develop in a better direction.