Cotton Is Low And Low &Nbsp; Trend Continues To Bottom.

Zheng cotton

1205 the contract continued to fall.

Low opened at 20590, the highest 20615, the lowest 20470, closed at 20485, compared with the previous trading day fell 115 points (-0.56%).

Cotton index positions are reduced by 658, and turnover is more than 90 thousand.

Cotton growth

The progress of development was relatively normal, and began picking sporadically in late August, and all over the country began to expand in September.

As of September 15, 2011, the national harvest rate was 11%.

Affected by the sluggish cotton sales price, seed cotton sale price is lower than the same period last year. In the first half of September, the average price of cotton seeds sold by cotton growers was 7.97 yuan / kg.

Cotton farmers reluctant to sell, less sales, as of September 15th, the total sales volume accounted for only 1.6% of output.

It is estimated that the cotton planting area will be 80 million 180 thousand mu in 2011, which will increase by 4.1% compared with the previous year.

If the weather is relatively normal, it is expected that the total output will reach 7 million 380 thousand tons this year, a decrease of 100 thousand tons compared with the forecast in July, a 10.9% increase compared with the previous year.

In the new year, global and domestic cotton supply and demand will remain oversupplied, so the probability of cotton price rise will be low.

Especially in the context of the global economic recovery is not optimistic, cotton consumption or will continue to lower the background.

Deal

Continue to slump.

Cotton has been down in recent days, and there is no sign of recovery from downstream demand, and the possibility of short-term rebound is not high.

Overall, cotton will still be in the process of exploring the bottom.

At present, it is recommended that the bears continue to hold.