The two weeks CCSE electronic market was still calm. Both buyers and sellers liquidated their March contracts, showing little divergence on such price levels. March Raw Silk and Dried Cocoon closed 172800 yuan and 54000 yuan per ton respectively.
Snow havoc in China seemed to have little effect on the electronic market, however, from macro-economy view, China’s heaviest snow storms in 50 years have wreaked havoc on the country’s economy causing damage of $7.5 billion till now. Hunan, Hubei, Guizhou, Guangxi, Jiangxi and Anhui were the worst hit regions. Crops and farmland have been particularly badly hit.
On the other hand, US slowdown is threatening Chinese export growth.
Shanghai Silk Fair and Hongkong Silk Fair are to be held after the Spring Festival. People hope the two fairs will help spur domestic demand, increase export and grasp potential business opportunities created by Olympic Economy.
Daily Chart for March Raw Silk Unit: 10000 yuan per ton