中央储备将轮入新疆棉50万吨

Core Viewpoint - The announcement by the National Grain and Material Reserve Bureau and the Ministry of Finance regarding the rotation of 500,000 tons of Xinjiang cotton is expected to positively influence cotton prices, although current demand from the downstream cotton textile industry remains weak and inventory levels are high [1][6]. Group 1: Cotton Market Reaction - Following the announcement, there was strong bullish sentiment in the domestic cotton market, with some market participants anticipating a significant rise in cotton futures prices [1]. - Despite the initial positive sentiment, the main cotton futures contracts experienced only slight increases and stabilized, indicating that the market had already priced in some of the positive effects of the announcement [1][6]. - The rotation of 500,000 tons of Xinjiang cotton is seen as a measure to prevent large price fluctuations and complicate market speculation [1]. Group 2: Rotation Details - The rotation period for the Xinjiang cotton is set from December 2, 2019, to March 31, 2020, with approximately 7,000 tons available for bidding each day [1]. - The maximum bidding price for the rotation will be dynamically determined based on domestic cotton spot prices, with adjustments made weekly [2]. - The quality requirements for the Xinjiang cotton include specific grades and standards, ensuring that only high-quality cotton is included in the reserves [3]. Group 3: Market Conditions - The domestic cotton market is currently facing high inventory levels, and the new cotton harvest is being released, which may limit the immediate impact of the reserve rotation on prices [6]. - The recent increase in cotton prices has been significant, with main contracts rising over 1,000 yuan per ton since October, indicating that the market may have already absorbed some of the positive news [6]. - The textile industry is not expected to recover to normal export levels in the short term, which may dampen the positive effects of the reserve rotation on cotton prices [6]. Group 4: Xinjiang Cotton Procurement - The procurement of Xinjiang seed cotton is nearing completion, with stable prices for cotton lint being reported [7]. - The average purchase price for machine-harvested seed cotton is between 5.2 to 5.3 yuan per kilogram, while hand-picked cotton is around 6 yuan per kilogram [7]. - As of November 14, the processing volume of Xinjiang cotton lint was reported at 6.48 million tons, slightly lower than the previous year's figures [7].