Gujcot Weekly Report
Posted : August 10, 2020
Market Movement from 20th Jul 2020 to 25th Jul 2020
- NY December gave up 184 points W/W. Till Thursday market remained almost flat but on Friday Dec future gave up 182 points amid rising political tension between U.S. and China.
- U.S. Export sales were very much disappointing as at higher rate there is no buying for U.S. cotton. Competition from other origins like Brazil and India restrict US cotton demand. Shipment is satisfactory and will reach USDA target of 15M bales.
- Indian physical market is stable. CCI reported record highest one day sales of over 6 lakh bales. Domestic arrivals declined to 25,000 bales a day. Domestic mills are buying regularly from current arrivals and also from stock with ginners.
- Despite attractive basis, Indian exporters were not able to sell big quantity. Appreciating Indian rupee and declining ICE narrowed the negative basis.
- Indian basis remained comparatively strong between -6.53 to -3.51.
- All India cotton sowing till 23rd of Jul was 118.030 lakh hectares against 96.350 lakh hectares last year on the same time.
- Gujarat Cotton sowing reached to 21,47,700 hectares.
- All India daily arrivals was nearly 25,000 bales.
- Daily arrivals in Gujarat was between 10,000 to 12,000 bales.
- Gujcot spot rate remained between 33,100 to 33,200.
- Indian rupee remained strong between 74.75 to 74.92 against USD compared to last week.