This week, the cotton price rushed down and the gains slowed down.

This week, cotton prices plunged and the gains began to slow. Due to the previous speculation on the national new year's storage price and the new year's cotton planting area, the cotton price rose continuously.

Market rumors that the price of storage and storage may be increased from RMB 19,800/ton in 2011 to RMB 21,000/ton in order to stabilize the new cotton plant to be launched around April.

In addition, according to the survey, due to the planting income is less than expected, the country's intention to plant cotton 72,941,000 mu, a decrease of 6.467 million mu, a decrease of 8.2%.

These two aspects have, to some extent, boosted domestic cotton prices.

Due to excessive speculation, the price increase of ** far surpassed the spot price, and the recent contract price increase has led to the recent contract. There is no risk arbitrage space in the market, which may trigger the intervention of the long-term hedge, and suppress the price increase.

However, it is still necessary to pay attention to the large amount of high-quality cotton stockpiles in the current year and the scarcity of high-grade cotton in the domestic market. Under circumstances where the import quota is limited, there may be cases of looting high-grade cotton, which may trigger the price of cotton to fall again.