Price-wise, retail apparel prices decreased month-on-month in May, falling 0.9 per cent. Year over year, retail apparel prices were 1.2 per cent lower, Cotton Incorporated said in its latest Executive Cotton Update on ‘U.S. Macroeconomic Indicators & the Cotton Supply Chain’.
After being virtually unchanged in the first four months of the year, seasonally-adjusted prices per square metre (SME) of cotton-dominant apparel imports edged slightly higher in May (+$0.03/SME). Nonetheless, average sourcing costs remain near the lowest levels recorded outside of the 2008/09 recession, the report said.
Giving a macroeconomic overview, the report mentions that the US dollar has fallen 4 per cent against a broad collection of widely circulated currencies since January 2017. “While the magnitude of the decline may not appear large, it does signal an important reversal relative to recent years. Against the same broad collection of currencies, the US dollar had consistently strengthened since 2013, rising more than 25 per cent over the past four years before turning lower in recent months,” the report states.
Noting that relative interest rates are a factor that can affect exchange rates, the report points out that recent announcements from central banks around the world have affected interest rates. Another factor that can affect exchange rates are expectations relative to economic growth. In recent years, economic growth in the US has been more robust than it has been in many other developed economies, and demand for the dollar may have been supported by greater confidence in the US economic outlook. That situation is evolving.
In the globalised economy, exchange rates have a range of effects. For trade conducted in US dollars, a stronger dollar is often associated with lower price levels. The strengthening of the dollar in recent years has been a factor helping to pull costs of imported apparel lower. That influence may unwind if the dollar continues to lose ground. In many commodity markets, oversupply has outweighed currency-related influences. NY cotton has declined about 10 per cent since January. (RKS)
Fibre2Fashion News Desk – India
Textiles | On 14th Apr 2021
Sri Lanka is all set to ban the import of textile fabrics in a bid to ...
Apparel/Garments | On 14th Apr 2021
Readymade garment exports from Bangladesh declined by 2.55 per cent...
The idea of a global minimum corporate tax floated by the US has...
Textile Industry Head honchos
The pandemic has reinstated need for organised retail spaces in Tier II...
Great step towards realising end goal of 'AtmaNirbhar Bharat'
Blockchain is not a silver bullet for each and every problem in supply...
Siddhant Sinha
Set up by Pradeep Sinha, a graduate engineer from Manipal Institute of...
Anupam Chakrabarty
Headquartered in Finland, Helsinki, Lindström Group is a textile rental...
Shyam Gupta
Established by <b>Shyam Gupta</b> in 1978, Gargee Designer's (GD) offers...
Karan Bose Hula Global
Hula Global, a leading isolation gown manufacturer in India, has been...
Daniel Kaye RocketLife
<div>RocketLife, an award-winning developer of breakthrough visual...
Hemant Bheda Arevo
Arevo, based in Silicon Valley in California, develops technology to...
Sweta Tantia Tahweave & Garo
Designer Sweta Tantia owns Garo, a couture indutva or ethnicwear brand,...
Sandeep Gonsalves & Sarah Gonsalves Sarah & Sandeep
Established in 2012, Sarah & Sandeep is a luxury menswear label...
Anjali Bhaskar Samatvam
Anjali Bhaskar has an experience of 12 years in the fashion industry. She...
Press Release
Letter to Editor
RSS Feed
Search Companies
editorial@fibre2fashion.com
Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.
Subscribe today and get the latest information on Textiles, Fashion, Apparel.
Download Free Report
Rising Opportunities in Technical Textiles Market: 2020-2026
Thank you for showing interest in our free report on 'Rising Opportunities in Technical Textiles Market: 2020-2026'
You will receive an email shortly with a link to download the report and in case if you don't receive our email, you can write back to texpro@fibre2fashion.com.
Thank You!