Domestic disk: Zhengzhou Cotton 2201 contract closed at 18290, +0.08% from the previous trading day; the highest report was 18505, the lowest was 18230; the trading volume was 371047, the position was 486216, +510; the basis was +252, +48; CF September-January The spread is 215, -30. CY2201 closed at 26665, -0.84% from the previous trading day; the highest was 26965, and the lowest was 26600; the volume was 6776, and the position was 8949, -198; the basis was +895, +30.
External disk trend: Intercontinental Exchange (ICE) cotton futures climbed on Tuesday, and buying interest was further stimulated after cotton prices rose above the 95-cent mark. At the same time, heavy rainfall in major cotton-producing areas caused supply concerns. The most actively traded ICE December cotton futures closed up 0.57 cents or 0.60%, with a settlement price of 94.90 cents/lb.
In terms of news: 1. On August 17, the reserve cotton wheel released sales resources of 9,372.63 tons, and the actual transaction was 9,372.63 tons, with a transaction rate of 100%. The average transaction price was 17,993 yuan/ton, an increase of 257 yuan/ton from the previous day, and the 3128 price was 19162 yuan/ton, an increase of 81 yuan/ton from the previous day. 2. According to the survey data of the Cotton Logistics Branch of the China Cotton Association on 154 cotton delivery and supervision warehouses in 18 provinces and cities in the national cotton trading market, at the end of July, the country’s total cotton turnover inventory was about 1.731 million tons, a month-on-month decrease of 468,000 tons.
In terms of spot: Cotton price index 3128B is 18542, which is an increase of 138 from the previous day's spot price; cotton yarn price index C32S is 27560, which is an increase of 10 from the previous day's spot price. (Unit: Yuan/Ton)
Warehouse receipt inventory: Zhengzhou cotton warehouse receipt 10945, -103, effective forecast 1048.
Position analysis: On the day, the top 20 long positions of Zhengzhou Cotton Contract were 371510 lots, the short positions were 464784 lots, and the net short positions were 93274 lots. On the day, the top 20 long positions in the cotton yarn contract were 7,997 lots, short positions were 7,872 lots, and net long positions were +129 lots.
View summary: Intercontinental Exchange (ICE) cotton futures climbed on Tuesday, and buying interest was further stimulated after cotton prices surpassed the 95-cent mark. At the same time, heavy rainfall in major cotton-producing areas caused supply concerns. Domestic market: New cotton is expected to be weighed in early September. Due to frequent rains in the production area and local replanting, it is expected that the launch of the new season cotton may be delayed. In addition, the current reserve cotton trading volume has exceeded half, and the premium space is still maintained at the space above 1,500 yuan/ton, which has an obvious supporting role for the cotton spot market. In terms of demand, the current textile companies start to operate at a low level, but considering that some textile companies have insufficient actual orders, coupled with increased production restrictions. In addition, the spot price of raw materials has risen strongly, and the downstream transmission is not smooth, which limits the room for cotton prices to rise to a certain extent. Operationally, it is recommended that Zhengzhou Cotton 2201 contract short-term early-term long-term orders can be profitable, and new orders should wait and see for the time being.