CCSE electronic market prices changed little this week. March Dried Cocoon and Raw Silk closed 174900 yuan and 53600 yuan per ton respectively with sharply-decreasing contracts. Back months closed higher slightly with increasing contract volume. Cocoon and silk exhibited some tendency to form a seasonal price bottom. The market isn’t surprised to see a little bounce, but a major recovery is a real problem mainly due to the market confidence.
The first months of this year, this market behavior seemed even more conservative than usual years. Increase in consumption volume is some expected, but not enough to offset the increase in production. A wide variety of factors will continue to have a bearing on price movement. Fluctuating cocoon prices also make raising decisions difficult for farmers.
Daily Chart for March Raw Silk Unit: 10000 yuan per ton