Cotton Market Daily (Sep 7, 2010)

EGEND>CCF price

·9/7 CCF RMB price for type 329: 18245yuan/mt, +30.00yuan/mt

·9/6 CCF USD price for type 329:121.25cent/lb

·9/6 Cotlook A forward: 97.50 cent/lb, +0.00cent/lb

China cotton
Propped up by strengthening ZCE contract cotton price, state-reserved cotton market rapidly moved up and its price has closed to 19000yuan/mt under type 328 basis.

Boom sentiment on aftermarket emerged. Mills' purchasing interest improved and the whole cotton market gradually warmed up.

Import cotton
CIF offer for foreign cotton basically presented stable today but spot price of warehouse foreign cotton and customs clearance foreign cotton ticked up. At current, offer for SM 1-1/8 customs clearance U.S. cotton was pegged at 18500-18700yuan/mt and offer for S-6 1-1/8 Indian cotton hiked to 18300-18500yuan/mt, up by 200yuan/mt.

Spurred by ICE contract cotton price and large rainfall precipitation in Shandong, spot cotton market enjoyed brisk sales and purchasing volume also largely increased. Under bullish sentiment, some cotton enterprises raised offer.

($1=CNY6.78)