Market was cautious ( Aug. 25-31,2007)
CCSE electronic market finished marginally lower on Friday on profit0taking and retreat as the trade was cautious on the market developments. Sept. Raw Silk closed 194480 yuan, down by 2100 yuan compared to last week. March Raw Silk closed 201900 yuan, down by 1800 yuan. Sept. Dried Cocoon closed at 62480 yuan, same as last weekend. March Dried Cocoon fell by 800 yuan to close at 668000 yuan. The ability of cocoon and silk contracts to sustain at current levels and surpass recent highs depends mostly on buyer action as well as autumn silkworm growing developments.
In other news, the market took note of figures from national spring cocoon harvest conference, which showed rise on China’s spring cocoon output and drop on China’s silk export volume during the first half of this year.
The active March Raw Silk contract moved within narrow range. The buyer strength could be felt in the electronic market.
Daily Chart for March Raw Silk Unit: 10000 yuan per ton