Monthly Rate Movement Report – Aug 2022
Posted : September 30, 2023
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.
- MCX Cotton Daily Closing Rate
- USD-INR Exchange Rate Closing
- NCDEX and MCX converted into Rs. Candy Rate
We hope it will be useful to all the stake holders of Textile Value Chain.
- Month of August remained volatile with mainly dominated by bulls. Market was stable till USDA WASDE report was published but after USDA reduced 3 million bales in US production in their August WASDE report, spectators jumped in buying and NY December rose to 119 cents intraday from 96 cents. Ultimately lead month December NY gained 1647 points during the month. Also, adverse weather condition in China and Pakistan played its role.
- Chinese futures remained almost stable to flat due to some economical slow down and sanction.
- Heavy flood in Pakistan will significantly affect Pakistan cotton crop.
- Indian new crop arrival started in Andhra, Karnataka. Now North India arrival also will pick up.
- Old crop Gujcot spot rate jumped following NY future to 100,000 Rs per candy in middle of the month but came down nearly Rs 95000 per candy due to lower demand at higher price.
- North India J-34 was offered at lower rate for future delivery clearly indicating inverted market.
- MNCs offering new crop at 1300 to 1500 points on to NY December future.
- India basis in august was higher up to 55 cents on Ny Dec while the lowest was 38 cents on Ny Dec.
- As soon as Indian arrival pick up physical cotton rate will be softened. As of now mills are running at hardly 50% of their installed capacity.
- All India cotton showing area reached near 124.540 lakh hectares.
- Gujarat cotton sowing area reached 25,45,100 hectares.
- Hope for the better crop in new season.