Dropped continuously (Nov.8, 2005)
Author:
admin
PublishDate:
2005-11-08 17:07:00
Hit:
581
The policy of adjustment on requirements of Trading Margin was a two-edged sword and advanced the battle between two sides. Electronic prices continued to be pulled back by great selling power after the slump of yesterday. However, buyers counterattacked wildly in second half afternoon-sessions. Both sides were eager to dominate the market this week (that means the period before Nov. 14) and fought tooth and nail. It’s noteworthy today that the trading volume reached 3260 hands and net positions (advanced delivery volume also called) recorded at 7296 hands for March’06 dried cocoon. Now people are paying great attention to the sharpened capital pressure faced by both sides. High risk is behind them. Till now, the price bottom could not still be in sight.
Such situation was attributed to the needs of market itself, rather than the fundamental pictures which affected the long-term movement id silk prices.
The spot market movement diverged far from the fluctuation of electronic market. Silk yarn spot price was influenced slightly by the drop electronic prices and kept more relatively stable.
Change Open-close prices Net position
Raw Silk for Nov. 2005 -1500yuan/ton 230000---228500 442
Raw silk for March 2006 -3000yuan/ton 221000---219800 2632
Dried Cocoon for Nov. 2005 -300yuan/ton 74100---73800 48
Dried Cocoon for March 2006 -1000yuan/ton 69200---68200 7296