Group 1: Market Information - The closing prices of CF01, CF05, and CF09 contracts were 14025, 13965, and 13925 respectively, with price changes of -40, -35, and -150 [3]. - The closing prices of CY01, CY05, and CY09 contracts were 20005, 20190, and 19995 respectively, with price changes of -160, 0, and -240 [3]. - The price of CCIndex3128B was 15580 yuan/ton, up 31 yuan; the price of CY IndexC32S was 20720 yuan/ton, down 60 yuan [3]. - The price of Cot A was 78.70 cents/pound, down 0.50 cents; the price of FCY IndexC33S was 22116 yuan/ton, up 24 yuan [3]. - The price of (FC Index):M: to - port price was 77.63 cents/pound, down 0.47 cents; the price of Indian S - 6 was 54000 rupees/candy, unchanged [3]. - The price of polyester staple fiber was 7450 yuan/ton, up 70 yuan; the price of pure polyester yarn T32S was 11130 yuan/ton, unchanged [3]. - The price of viscose staple fiber was 12700 yuan/ton, up 100 yuan; the price of viscose yarn R30S was 17250 yuan/ton, unchanged [3]. - The 1 - 5 month spread of cotton was 60, down 5; the 5 - 9 month spread was 40, up 115; the 9 - 1 month spread was - 100, down 110 [3]. - The 1 - 5 month spread of cotton yarn was - 185, down 160; the 5 - 9 month spread was 195, up 240; the 9 - 1 month spread was - 10, down 80 [3]. - The CY01 - CF01 spread was 5980, down 120; the CY05 - CF05 spread was 6225, up 35; the CY09 - CF09 spread was 6070, down 90 [3]. - The 1% tariff - based internal - external cotton price spread was 1673 yuan/ton, up 58 yuan; the sliding - scale tariff - based internal - external cotton price spread was 1021 yuan/ton, up 21 yuan [3]. - The internal - external yarn price spread was - 1396 yuan/ton, down 84 yuan [3]. Group 2: Market News and Views Cotton Market News - As of July 27, the budding rate of U.S. cotton in 15 major cotton - growing states was 80%, 6 percentage points slower than the same period last year and the same as the five - year average [6]. - As of July 27, the boll - setting rate of U.S. cotton in 15 major cotton - growing states was 44%, 8 percentage points slower than the same period last year and 3 percentage points faster than the five - year average [6]. - As of July 27, the good - to - excellent rate of U.S. cotton in 15 major cotton - growing states was 55%, 5 percentage points higher than the same period last year and 5 percentage points higher than the five - year average [6]. - As of July 26, the total harvesting progress of Brazilian cotton was 21.7%, up 5 percentage points from the previous week and 3.1 percentage points slower than the same period last year [6]. - As of the week of July 28, 2025, the weekly cotton listing volume in India was 1.15 million tons, a year - on - year decrease of 64%; the cumulative cotton listing volume in the 2024/25 season was 5.093 million tons, a year - on - year decrease of 4% [7]. Trading Logic - U.S. cotton may be slightly weaker in the short term due to the increase in the actual sown area at the end of June and the alleviation of drought in the main producing areas, but there are potential positive factors such as trade negotiations and weather trading [8]. - The current cotton commercial inventory and import volume are at low levels in the same period over the years, which may lead to a slightly tight supply at the end of the season. The issuance of sliding - scale tariff quotas and the Sino - U.S. trade and tariff situation will affect the market [8]. - Considering that the downstream needs time to digest the current price, the cotton price is expected to fluctuate at the current level in the short term [8]. Trading Strategies - Unilateral: U.S. cotton is expected to fluctuate slightly stronger, and Zhengzhou cotton is expected to fluctuate in the short term [9]. - Arbitrage: Wait and see [10]. - Options: Sell put options [12][16]. Cotton Yarn Industry News - Recently, Zhengzhou cotton has been slightly weaker, and the pure - cotton yarn market has mainly maintained stable quotations. The transaction price is approaching the quotation. The downstream has insufficient orders and mainly replenishes inventory for rigid demand [12]. - The overall demand in the pure - cotton grey fabric market is weak, and the fabric price is mainly stable and weak. Some weaving factories in local areas have improved orders recently, but the order volume is small [12]. Group 3: Options - Today, the 10 - day HV of cotton was 10.0386, with a slight increase in volatility. The implied volatility of CF509 - C - 13800 was 13.6%, that of CF509 - P - 13600 was 11.8%, and that of CF509 - P - 13000 was 11.9% [14]. - Today, the position PCR of the main contract of Zhengzhou cotton was 0.8595, and the trading volume PCR of the main contract was 0.6113. The trading volumes of both call and put options increased [15]. - Option strategy: Sell put options [16].