Home / Knowledge / News / Textiles / Market expects to shift from neutral to bearish today
Market expects to shift from neutral to bearish today
09
Apr '08
Tuesday session was generally weak but holding well considering the market anticipation of a bearish USDA S&D report tomorrow. Overnight ICE opened slightly lower and traded sideways in the early morning session. Chicago grains market opened at around neutral level from last night's close and gained slight margin during the session.

Cotton, on the other hand, traded steadily lower to create today's low at mid 71 cents on K'08 and lower 75 cents on N'08. Market then quickly turned direction on very light volume and gained part of the ground that it had lost. Some bullish options in the pit on December contract 90/110 call spreads also supported the bounce up movement.

The USDA S&D report to be released tomorrow morning is expected to be neutral to bearish. The general anticipation is in decreased U.S. exports and increased production numbers, which leaves a higher ending stock level.

The appreciating Chinese dollars are hurting the textile mill's profit margin, thus their ability to import the U.S. cotton, which is relatively more expensive than other growths. There is also news that production countries like Pakistan are working to improve their production ability. The effect of the report on the market, however, is uncertain, since NYF has not been trading on fundamentals.

Technically, we are trading in consolidation ahead of the USDA S&D report to be released tomorrow morning. Cotton offers have switched to N'08 and on the second day ofthe rolling by the large index funds, spread trading has dominated today's futures activities.

The N'08 chart on page 2 in attached PDF shows that we are still trading within the long term up channel. We could continue to trade sideways short term, but the growing cert stocks and neutral grains prices could add pressure to the market. The total cert stocks have reached just over one million bales including 81,000 bales awaiting review.

Click here to view more:

ECOM USA Inc


Must ReadView All

Union Minister for finance Arun Jaitley chairing the 25th GST Council meeting, flanked by minister of state for finance Shiv Pratap Shukla (right) and finance secretary Dr Hasmukh Adhia. Courtesy: PIB

Textiles | On 20th Jan 2018

GST rate on velvet fabric reduced to 5%

The 25th Goods and Services Tax (GST) Council meeting, held under the ...

RIL petrochemicals’ revenue grows 47.6% in Q3 FY18

Textiles | On 20th Jan 2018

RIL petrochemicals’ revenue grows 47.6% in Q3 FY18

The revenue from the petrochemicals segment at Reliance Industries...

Courtesy: Cotton USA

Textiles | On 20th Jan 2018

US cotton bodies pledge to support CCI activities

Ten US cotton organisations have pledged industry contributions in...

Interviews View All

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Top executives
Textile & apparel bodies

The decision is transformational

Smita Murarka
Amanté

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Nitesh Mittal

Kusumgar Corporates is a leading manufacturer of technical textiles and...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

January 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.1%
No
13.4%
Skip
17.5%

Total Votes: 97

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.9%
No
28.9%
Skip
7.2%

Total Votes: 97

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.6%
No
9.3%
Skip
3.1%

Total Votes: 97

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
8.2%
Skip
9.3%

Total Votes: 97


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search