Gujcot Weekly Report
Posted : December 06, 2022
Market Movement from 29th Nov 2021 to 04th Dec 2021.
- NY futures declined sharply during the week. NY March lost 758 points with limit down on Tuesday and 200 points loss on Wednesday. Market worried about spread of new omicron variant Covid. some comment of fed chairman regarding tapering to control inflation and technical sell signal on chart has created panic. Reduction of open interest shows liquidation of funds by speculators.
- Export sales were excellent with 3,81,000 bales new sales which is almost double than last week. While shipment yet not doing well. Weekly shipment was just 73,700 bales.
- In India Shankar 6 rate also followed NY future and got back to near 64,000 Rs per candy. Despite very poor arrivals market followed the trend and sentiment was down ward.
- Rainfall was reported in some cotton growing areas. Due to firm sentiment of farmers and adverse weather, all India daily arrival was below 1,50,000 bales.
- Gujarat arrival was nearly 40,000 bales a day.
- Indian basis in positive territory, so new buying is on halt but basis players get good profit at this level and they are sellers in the market.
- Hope for better arrival with good weather in next week.