Home / Knowledge / News / Textiles / Market looks gloomy on Friday
Market looks gloomy on Friday
25
Oct '08
Things looked gloomy Friday right at the beginning of the day. All European and Asian stock markets took a dive with the major benchmark indices tumbling up to 10 percent. On limit down move by S&P 500 and the Dow Jones futures, Wall Street opened up much lower by dropping nearly 500 points at one time. Dollar index continued to show strength which drove down the commodity prices.

Assisted by bearish options, cotton tested to the low side in the early morning and made a limit down move on both December and March contracts. As the dollar came off from its high of the day, the nervous market received a much needed rally to recover part of the losses. Sell off came in at the end of the session when traders got ready for the weekend, which settled the day with a hefty loss of 285 points on Z'08 and 300 points on H'09.

Trading remained choppy and volatile during the course of the week and the open interest managed to stay stable at the 270k area. Today's traders commitment report revealed the same story when big specs and index traders continued reducing their exposure in cotton. The Index funds reduced another 6,000 contracts in their net holdings. Lifting hedges on sales on the other hand, the non commercials reduced their net short positions by close to 5,000 contracts.

Technicals are looking more stabilized this week after the bounce at the beginning of the week, but world economy situation is continuing to deteriorate. Growth in Asia is slowing down and there's plenty of nervousness in Europe.

RSI is at the low 30's area, and MACD is undecided making a double cross. Scale down demand was seen with the spot month under 50 cents and the two continuous export reports have shown decent numbers. We are now approaching the December contract low of 45.66 established just last week, and it's very likely for the market to make another run towards this level sometime in the near future.

Ecom USA

Must ReadView All

Courtesy: American Apparel

Apparel/Garments | On 25th Feb 2017

Gildan to make some American Apparel products outside US

Gildan Activewear, which recently acquired US fashion brand American...

Courtesy: Kolon Sport

Apparel/Garments | On 25th Feb 2017

Kolon Sport to set up JV with ANTA for Chinese market

Kolon Sport, an outdoor gear and clothing brand of Korea based Kolon...

Designer Karishma Jumani with Niraj Jawanjal, founder and director of IIFW. Courtesy: IIFW

Textiles | On 25th Feb 2017

IIFW to bring together premium lingerie brands

India Intimate fashion Week (IIFW), dedicated to showcasing the...

Interviews View All

Rajiv Sirohi
Shara

‘Portugal is taking away a major share of the mill made sector.’

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Spokesperson
Hugo Boss

'Hugo Boss works with carefully selected sourcing partners'

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...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

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
February 2017

February 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search