Dear All Cotton Friends,

In our mission to give Daily Spot Rate Team Gujcot is getting valuable support from Gujcot broker’s panel. We appreciated their humble service to the trade. Gujcot Team is giving daily closing of Indian and foreign futures rates.

In this report we have provided Following Rates during the month.

• Daily Physical Spot Rate

• MCX Cotton Daily Closing Rate

• USD-INR Exchange Rate Closing

• Cotlook Index

• ICE Future Closing

• NCDEX Kapas Rate

• MCX Future Closing

• NCDEX and MCX converted into Rs. Candy Rate

We hope it will be useful to all the stake holders of Textile Value Chain.

• October month was dominated fully by speculators and funds. ICE Dec future started from 66 cents it trawled toward new high of 52 weeks and crossed all retracement barriers and touched 72.63 intraday in last week. But due to overbought, hike in Covid-19 cases, and proposed lockdown in Europe gave sharp turn and ICE future gave up half of the monthly gain in last three days of the month. Dec NY gained 313 points M/M. As October WASDE was somewhat bullish. USDA reduced US crop. Still market players feel that in next WASDE USDA will reduce more US crop.
• Despite higher rate export sales were decent and at the end of October US committed nearly 9 million bales out of that 3 million bales already shipped. Due to higher opening stock shipment in this time is higher. It looks easy to achieve US export goal set by USDA.
• Chinese future surged unexpectedly to 15,000 levels. After completion of auction from reserve in September end Chinese buyers were active in purchase of cotton. China was main force to dominate uptrend in October.
• Reduction in Pakistan crop Pakistan, Pakistan was leading importer in last two week of October.
•  In India main arrivals starts from North India and CCI was active from 1st week. As soon as moisture reduces, they started to procuring big quantities. Kapas rate was supported by CCI buying and also support from local and foreign futures. North rate touched top of 4,210 in last week and get turn around with some profit taking.
• Gujarat, Maharashtra, Madhya Pradesh and some south states season started slowly with some lower grade due to last rainfall in October. But it was recovered and from mid of October good grade arrivals started.
• Exporters, and mills both active buyers and rate advanced from 37,000 to 40,500 during short period. Due to disparity and sentiment of uptrend ginners played long and earned.  In last week of the month some reversal in sentiment brought rate below 40,000 Rs per Candy level.
• In Gujarat still old kapas of season 2019/20 is available and some gins are running with old crop also.
• We think that Gujarat October month pressing will be higher than expected.
• Indian basis remains between -3.67 to -0.24.
• Rupee was stronger in first half of the month while due to hike in Covid-19 cases rupee depreciated in later part of the month.