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Dry cocoon & raw silk prices still in upsurge
Dec '10
Dry cocoon market closed higher yesterday, while several contracts of raw silk slightly declined, but overall market of cocoon and raw silk maintained steady upward trend.

Dry cocoon price exceeded 100,000 Yuan mark on the day, nearby week contract 121 rose 2400 Yuan to close at 103,000 Yuan per ton, up 2.39 percent from the previous day and forward month contract 11033 rose 700 Yuan to close at 103,800 Yuan per ton.

Nearby week contract 122 of raw silk fell 600 Yuan to close at 363,500 Yuan per ton to set the highest price among raw silk contracts on the day. In the morning, forward month contract 11033 once again touched 362,000 Yuan per ton to set another new high, but struggled at the price and finally closed at 361,000 Yuan per ton.

Overall trend of cocoon and silk market still remain strong, the market will remain firmer amid shocks. However, high inflation trends increases the expectations of a rate hike in December; which could have a great impact on the market.

Fibre2fashion News Desk - China

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