The Textile Boom Index Of The Lower Reaches Is Rising.

Domestic textile enterprises will soon enter the peak season of traditional processing, and the willingness to replenishment will gradually strengthen, and the downstream textile boom index will pick up.

Under the background of the smooth progress of Sino US trade negotiations, the downstream exports can be warmer.

From the technical point of view, Zheng cotton underneath is strong.

After the Qingming Festival, the Sino US cotton entered the seeding stage. The United States released its intention planting area in 2019. The Sino US trade negotiations progressed smoothly, the US cotton export data were strong, the domestic lint processing rate increased year by year, and the downstream textile prosperity index rebounded slightly.

US cotton double good show

According to the report released by the US Department of agriculture in March 29th, the US cotton planting area was 13 million 800 thousand acres in 2019, a decrease of 2% compared to the same period last year, far below the market expected 1410-1550 acres.

Among them, the land cotton area is 13 million 525 thousand acres, a decrease of 2.3% compared with that of the previous year, and the Pima cotton area is 255 thousand acres, an increase of 2.4% over the same period last year.

The largest production area in Texas and Georgia decreased by nearly 6% over the same period last year.

The US Department of agriculture report showed that, on the 22-28 th of March 2019, the net contract volume of US cotton exports in 2018/2019 was 73 thousand tons, up 47% from the previous week, which increased significantly compared with the previous 4 weeks. The new signing came mainly from Vietnam, China and so on, of which China signed 13 thousand and 400 tons.

In 2019/2020, US cotton net export contracted 34 thousand and 300 tons, and the new signing came mainly from China, which amounted to 26 thousand and 700 tons.

National lint processing rate increased year on year

The national cotton market monitoring system survey data show that as of April 4th, the national processing rate was 98.4%, an increase of 1 percentage points over the same period last year, representing an increase of 0.3 percentage points over the past 4 years, of which the processing rate of Xinjiang was 100%, and the national sales rate was 59.8%, down 0.6 percentage points year-on-year, which was 8.6 percentage points lower than the average value of 4 years in the past, and the sales rate of Xinjiang was 58.3%.

According to the estimated 6 million 75 thousand tons of cotton production in November 2018 (the national cotton market monitoring system November 2018 forecast), the total sales of seed cotton and lint cotton 6 million 21 thousand tons were reduced by 3 thousand tons compared with the same period last year, representing an average increase of 479 thousand tons over the past 4 years, of which 5 million 10 thousand tons of cotton seeds were sold in Xinjiang in the past 4 years, and 5 million 922 thousand tons of cotton seed in the past 4 tons, an increase of 55 thousand tons compared with the same period last year, an increase of 549 thousand tons over the past 4 years, of which 5 million 10 thousand tons of lint were processed in Xinjiang, and a total sales of 18 tons of cotton lint, which decreased by less than that of the previous year.

Keqiao textile index rose slightly in March

In March 2019, the Keqiao textile index total prosperity index closed at 1214.14 points, a rise of 0.01%, up 0.01% from the beginning of the year, down 15.80% from the same period last year.

The total market circulation index closed at 1110.86 points, down 0.04%.

In March, before and after the Spring Festival, weaving factories and markets were more optimistic about the market outlook, and manufacturers had higher enthusiasm for production. Traders also had stockpiling operations.

However, the market demand has not reached the expected effect. The price of textile market has dropped slightly, and the demand for domestic demand has been shrinking.

The total production boom index closed at 1290.15 points, rising 0.76%.

Enterprise production orders rebounded, and in March some textile printing and dyeing enterprises started to pick up locally, production and sales increased, and the output of some enterprises in Binhai printing and dyeing gathering area increased.

The business climate index is rising.

To sum up, the recent international cotton market is much more basic, and the trend of Zheng cotton will focus on downstream demand.

Domestic textile enterprises will soon enter the peak season of traditional processing, and the willingness to replenishment will gradually strengthen, and the downstream textile boom index will pick up.

Under the background of the smooth progress of Sino US trade negotiations, the downstream exports can be warmer.

At the same time, China and the United States are entering the cotton planting period, during which the weather will become the key factor affecting Zheng cotton market.

From the technical point of view, Zheng cotton underneath is strong.