Sino US Trade And Cotton Textile Market Observation (2.7-2.13)

This week, the market was slightly volatile. The futures market was mainly affected by the epidemic and the price in the spot market was stable.

Review of important news

In February 6th, the Customs Tariff Commission of the State Council decided to adjust tariff collection measures for imported goods originating in the United States of about $75 billion, that is, from 13 hours and 01 minutes in February 14th, since September 1, 2019, 10% tariff products have been added, the tax rate has been adjusted to 5%, goods with 5% duties have been added, and the tax rate has been adjusted to 2.5%. It is reported that the tariff rate of China's adjustment is mainly about the enterprises and parts originating in the United States.

On the morning of February 7th, President Xi Jinping and the president of the United States made an ordinary call. Xi Jinping pointed out that China and the United States maintain communication on epidemic prevention and control. I commend the president for his many positive comments on China's prevention and control work, and thank all sectors of the United States for providing material donations. Epidemic diseases need concerted efforts from all countries. The current epidemic prevention and control is at a critical stage. From a professional point of view, who has repeatedly called on all countries not to overreact. It is hoped that the United States will evaluate the epidemic calmly and formulate and adjust measures accordingly. China and the United States can maintain communication, strengthen coordination and jointly prevent and control the outbreak.

Market price dynamics

On February 7th -13, the market price fluctuated slightly but relatively stable. Futures market, domestic cotton main contract (CF2002) February 13th settlement price of 13070 yuan / ton, compared with the same period last week settlement price rose 35 yuan / ton; American Cotton Futures (ICE2005), local time February 12th settlement price of 69.24 cents / pound, the price is relatively stable; Zhengzhou cotton yarn main contract (CY2005) rose slightly, February 13th settlement price of 21110 yuan / ton, up 140 yuan / ton compared with the same period. From the domestic spot market, in February 13th, the domestic 3128B cotton price index was 13260 yuan / ton, the whole rose 300 yuan / ton compared with last week, and the pure cotton 32 CY C32S index is relatively stable, 20420 yuan / ton, little change.