Yarn National Day Market: Actively Go To The Warehouse To Prepare For Rising Opportunities

During the peak period of national day, the logistics transportation was blocked, which restricted the trading of yarn market to a certain extent, which led to a blow to the content supply in the market. However, the flexibility of local enterprises arranged maintenance and social inventory was controlled in rationality. On the whole, the performance of the textile industry is better than expected, whether it is domestic demand double 11 or external single reflux; in addition, combined with the strength of cotton and polyester, and the strengthening of hard support on the cost side, yarn enterprises have successively increased the quotation from June 6 to 7, with the range of 100-400 yuan / ton.

"Gold nine silver ten" for the textile industry under the epidemic situation, in the crack found a trace of breathing opportunity. Combined with the performance of raw material market, the performance of yarn in the first half and the second half during the National Day was slightly different. On the whole, the purchase price of cotton ginning plant seed cotton continued to rise, and the cost of new cotton rose again and again; international crude oil first suppressed and then rose, which benefited the polyester plate, providing effective and necessary conditions for polyester strength; with the rise of double materials, low warehouse yarn enterprises actively increased, especially CVC rose rapidly, with an increase of 200-400. At present, ring spinning T / C 65 / 35 32S 13400-13800, CVC 60 / 40 32S 15700-16500; rotor spinning T / C 65 / 35 16S 10900, 21s 11700, 32s13500. (unit: yuan / ton)

From the supply side, enterprises actively go to the warehouse to maintain a rational state. Due to the long-term demand and order variables, the yarn market has planned maintenance, mostly in 1-4 days, but the overall maintenance days are less than expected. The main reason is that the known large-scale and regional yarn enterprises in various regions usually keep their orders until after the national day or even in the middle of the national day before the festival, and most of them operate according to orders in the market. Small and medium-sized enterprises that produce conventional products still have certain pressure on production and sales, but with the help of production reduction and production reduction, the inventory pressure is controllable.

From the demand side, overseas demand is returning and domestic demand is stable and improving. The severe overseas epidemic situation and inferior trade friction continue to limit the increase of orders in Europe and the United States. However, the high outbreak of India's epidemic situation has led to the transfer of some orders to China, and the situation at home and abroad has improved. Domestic orders for double 11 and double 12 still exist, and home textile orders promote the market more obviously. The release of orders, combined with the price increase of yarn enterprises and the increase of inquiry list in the market, will help to consolidate the price and shipment.

From the point of view of raw materials, cotton and polyester tend to be strong, laying the foundation for the yarn market to realize price rise. During the national day, the Zheng cotton futures market was closed and ice US cotton prices rose, with an increase of more than 3%. In the spot market, lint prices increased significantly, mainly driven by the rise in raw material seed cotton prices. The price of seed cotton in the mainland increased by about 0.1 yuan / kg compared with that before the festival, while that in Xinjiang increased by 0.2-0.4 yuan / kg. In the case of raw material costs continue to rise, lint prices rise in different ranges. The price of lint in the mainland is 12800-13000 yuan / ton, which is 300 yuan / ton higher than that before the festival; in Xinjiang, the price of lint is 13100-13200 yuan / ton in 2019, which is 400 yuan / ton higher than that before the festival; in 2020, Xinjiang new cotton will offer successively, with high price and no market. At present, the procurement of downstream yarn enterprises is still dominated by resources in 2019. The new cotton in the mainland is produced and sold with positive shipment and downstream purchase on demand; Xinjiang lint offer in the new year is out of touch with the market, the cost price is obviously inversely linked with the market, and there is still no substantial transaction in the short term, which is in the psychological game stage of upstream and downstream.

In the short term, the atmosphere of yarn market is still strong, and the range of general rise will be further spread. Firstly, the increase of raw materials is obviously higher than that of yarn; secondly, yarn price and spinning profit have not returned to normal level; thirdly, social inventory has been well digested and the demand environment has been improved.