Gujcot Weekly Report
Posted : June 15, 2021
Market Movement from 31st May 2021 to 05th Jun 2021
- NY future showed some consolidation this week. Adverse weather in US major cotton growing area, good export sales and weaker dollar supported NY cotton futures. July contract was the most gainer with 368 points, December contract gained 256 points during the week. Which leaves July December carry to just only 8 points.
- U.S. Export Sales were decent. Sales were 1,88,000 bales net while shipment was 3,80,000. Cumulative Sales now stands at 16.53 million bales out of that 13.24 million bales shipped.
- Indian cotton rate crossed 50,000 Rs per candy level. CCI was able to sales huge quantity and continued hike in their base price supported by mills panic buying.
- Mills are getting good export orders so ignoring domestic market slowdown they are buying to build good inventory.
- Indian basis is now positive so basis players offloading their stock regularly.
- Due to Indian offer are not competitive so Indian cotton export now at halt but old orders are shipped regularly.
- Main arrivals are now in Gujarat and Maharashtra only. First time farmers get 7,500 Rs. per quintal rate for Kapas, thanks to high cotton and cotton seed rate. Cotton seed rate also crossed 4,000 Rs per quintal.
- After many years Shankar-6 price crossed 50,000 marks.
- Indian rupee remains between 72.61 to 73.08.
- IMD has official declare south west monsoon has arrived at Kerala on 3 June. Pre monsoon rain has covered almost all cotton growing area so sowing activity starts in all cotton growing states.
- Next week monsoon will advance towards western states.