The trend of Zheng cotton has been calm in recent days, and has been fluctuating around 14,500 yuan/ton. With the implementation of major events such as the US election this week, it is expected that the trend direction of Zheng cotton may gradually become clear.
As for the future trend, the current market is full of differences, and there are sufficient reasons to be bullish and bearish. A professional analyst believes that Zheng cotton continues to fluctuate at 14,500 yuan/ton. It is expected to take a direction this week. It has not yet fallen to the point. It may be difficult to hold on to 14,000 yuan/ton in the short term. Regardless of the outcome of the U.S. election, the chaos in the domestic market will not end easily, and U.S. stocks and commodity futures are more likely to fall. Cotton raw materials have surged in October, which has overdrawn the subsequent market. Moreover, from a time perspective, Christmas orders are also nearing completion. In addition, China’s economic data is improving, and it is less likely that currency will continue to be loose in the fourth quarter, which will bring uncertainty to the trend of cotton.
It is reported that the purchase price of seed cotton continues to rise this year, and the cost of new cotton purchase continues to rise, thus driving up the downstream cotton price. Through the transmission of the industrial chain, the originally weak yarn price has also loosened, and the price has increased significantly. , profits have also been restored to a certain extent. Whether cotton prices can continue to rise in the future depends on downstream demand.
Of course, there are also views in the market that the current second outbreak of the global new crown epidemic, European and American countries have adopted more stringent city closure measures, which has cast a shadow on the market, and China due to its effective prevention and control , basically eliminating the hidden dangers of the epidemic. At this time, foreign orders can only be safe and reliable if they are placed in China. The recent transfer of foreign orders has proved this logic. In the future, as the foreign epidemic continues to spread, more orders will only be transferred to the domestic market. In the long term, , Zheng Mian’s upward trend will not change. </p
