The prospects for the Sino-US trade war are unpredictable. The cotton market has rebounded.

Last week (August 26-30), with the new cotton market approaching, processing companies and traders increased their sales efforts, and the price was lowered sharply. The yarn factory's cotton yarn sales are slow, the purchase price is difficult to return, and the cotton purchase volume is small. Turn out the volume of the transaction price, the spot price of the bearish futures. New cotton is picked up in spite of the large amount of Chen cotton stocks and the price of falling prices. Most processing companies are waiting to see and see, and the listing date will move backward. Cotton price CNCottonB index price of 12,994 yuan / ton, down 552 yuan / ton, compared with Zheng cotton futures CF1909 contract, spot premiums of 1014 yuan / ton, weekly reduction of 312 yuan / ton.

Futures. Committed by the US threat of tariff plus news, Zheng cotton fell sharply near the limit on Monday, and the price rebounded after the subsequent news of the negotiating team call, the September negotiations may resume and the good weather of the US hurricane weather. Zheng cotton's main CF2001 contract closed at 12,520 yuan / ton on Friday, down 210 yuan / ton, weekly turnover of 2,155,438 hands, an increase of 596,856 hands, a decrease of 38.3%, holding 524,380 hands, weekly increase of 19,132 hands, an increase of 3.8%, disk Significant shocks and a significant increase in trading. In September, the delivery was approaching, the funds quickly left the market, and some of the positions were moved in January, and the positions were greatly reduced. Chenmian stocks more than 1.5 million tons, new cotton will be listed in mid-September, Sino-US trade war is difficult to have substantial benefits in the short term, technical pressure is not reduced. This week, the price of the round was lowered by 352 yuan / ton to 12,335 yuan / ton, creating a new low, bearish futures.

US market: Trade war escalated, Monday fell sharply and fell low, and began to gradually stabilize and rebound on Tuesday. ICE's main December contract closed at 58.89 cents/lb on Friday, up 71 points, focusing on the impact of the hurricane and the progress of Sino-US trade war negotiations. Message.

Spot. The trade war escalated, the market panic increased, the processing and trading enterprises increased their sales efforts, and the cotton price was lowered sharply. However, the orders of the yarn factory were insufficient, the sales were difficult, the production was limited to the stock limit, the price was low, and the points were low. Less turnover. At present, Xinjiang's cotton resources in the mainland are generally concentrated at 12,700-13,000 yuan / ton. Most of the imported cotton for customs clearance has no hedging, and the cost is high. The price is generally above 13,000 yuan / ton, which is obviously higher than that of Xinjiang cotton. In the new year, Brazilian cotton will continue to arrive in Hong Kong, which can basically replace US cotton, which will put more pressure on the sales of existing imported cotton.

New cotton acquisition. New cotton has been picked up sporadically. On the one hand, according to the current price of lint, the purchase price of seed cotton is about 2.9 yuan/kg. There may be no price in the market. Even if it can be received, it will be a problem for Chen cotton inventory of 1.5 million tons. For the processing plant where the cotton sales are finished, the cost advantage is an opportunity compared with Chen Mian. The Corps is the main body of the acquisition of Xinjiang cotton. The processing plant is for sale or lease, and no longer participates in the acquisition. During the centralized listing of the machine cotton, there may be a cotton purchase or a problem, which deserves attention.

Operational recommendations. The prospects for Sino-US trade wars are unpredictable, market confidence is impaired, new cotton is about to go on the market, cotton prices are fluctuating or bottoming out again, and exiting the wait-and-see or bargain-hunting can test far more. Concerned about the weather in the cotton area and the progress of the Sino-US negotiations.