Views: 0 Author: Site Editor Publish Time: 2019-09-23 Origin: Site
. Traders' reflection
Note: Over 30 enterprises are surveyed, covering over 50% of cotton yarn imports.
All traders and L/C issuing companies which were surveyed expected less arrivals of imported cotton yarn in Aug.
3. Imported yarn stocks and supply and demand outlook in Sep
Stocks of imported cotton yarn stayed high in Aug. Although the arrivals reduced, downstream demand was poor and the sales of traders moved very slowly. Therefore, overall stocks were high and the supply will be adequate in short run. It is worth noting that with continuous losses, traders hardly place orders and the cargos are hard to circulate under control of L/C issuing side.
Since end-Aug, downstream market improved slightly and trading on spot and forward imported cotton yarn market also turned better, but both spot price and USD price remained dropping. The demand improved, but it cannot bear the large supply at present and the prices were dominated by buyers. On the other hand, it indicated that supply side held negative expectation to later market, so they accepted low price. In general, cotton yarn price will continue to face pressure later.