An unpeaceful week with rising prices (Sept. 9-15,2006)
Author:
admin
PublishDate:
2006-09-15 17:04:00
Hit:
468
CCSE electronic prices continued to move up. September contracts have expired. The last closing price of September Raw Silk and Dried Cocoon is 241700 yuan and 81200 yuan per ton respectively. Till September 15th, 80 percent of total September Dried Cocoon delivery volume have been taken into CCSE registered warehouses for inspection.
Affected by fundamental news, the electronic market fluctuated greatly this week with large trading volume. National and provincial meetings in the silk industry held in this month urged more efforts to avoid terrible booms and slums in silk prices and ensure a stable silk market. On the other hand, purchasing price of fresh cocoon in Guangxi rose day by day. Currently Guangxi’s purchasing price exceeds 1500 yuan per 50kg. Meantime, silk export to India became more active with higher prices this week. And some bullish rumors were floated to attract buying. So despite of warns from national and provincial meetings held in this month and the policy of the reduction of textile export rebate from 13% to 11% released Thursday evening, the market chose to climb up and pull the prices to new highs.
On CCSE spot market, cocoon and silk prices quoted higher this week. Increased silk production capability leads to a tight supply of raw materials. Thanks to high prices, hiking cocoon price has boosted morale of silkworm raisers and now they are planning to raise more late-autumn silkworms. But high prices, artificial created or not, will curb consumption.