Closed lower affected by the policy side (Nov.7, 2005)
Author:
admin
PublishDate:
2005-11-07 17:15:00
Hit:
564
CCSE increased the trading margin of March’06 Dried Cocoon to limit the enlarged position and avoid the huge market risk on Friday. The electronic price movement today surrounded by the change of policy side. At first, traders thought the policy was in favor of buying side, so the price closed higher in the morning sessions, however, participants reversed the judgment in afternoon sessions and then price dropped. But the position (advanced delivery volume) of March’06 Dried Cocoon increased again and hit the record at 5196 hands.
The repercussion from prompt market will be very critical. Till now, the spot price showed some sign of affection by the drop of electronic prices.
Change Open-close prices Net position
Raw Silk for Nov. 2005 -1200yuan/ton 231200---230000 452
Raw silk for March 2006 -1800yuan/ton 222800---221000 2496
Dried Cocoon for Nov. 2005 -200yuan/ton 74300---74100 40
Dried Cocoon for March 2006 -600yuan/ton 69800---69200 5196