The risk of market volatility has increased recently. After the outside world expected that the new U.S. president would announce a US$1.9 trillion economic rescue plan after taking office in the White House, domestic commodities not only failed to rise strongly, but also suffered a general decline, especially in the With crude oil strong, it is even more difficult to understand. What happened to the market?
At present, the trend of Zheng cotton is very tangled, and the market divergence is still relatively large. It stood at 15,300 yuan/ton yesterday and then fell back to 15,100 yuan/ton. In the short term, there are signs of “sluggish rise and weak fall”. The author believes that under the premise of stable cotton supply, demand remains strong, cotton yarn is in short supply, and inventory is at a low level during the same period. Especially after the Spring Festival, the peak production and marketing season will enter, and corporate orders are expected to maintain steady growth. Therefore, the cotton spinning industry chain does not have negative conditions.
With the industrial side stable, where does the driving force for the decline come from? According to the traditional performance of the financial market, when good or bad news is released, the market will generally set off a wave of upward or downward trends. Of course, there are also abnormal times, especially when everyone has the same expectations for the market trend, the market will often reverse rapidly. This may It is the need for technology and market to take the opportunity to adjust.
In the news released by the market, we see that the policy strategy of the new US president will change significantly compared with that of his predecessor. In addition, stimulated by the US$1.9 trillion economic rescue plan, the market is unanimously bullish and will inevitably lead to bullish positions. Take profits early. Of course, it may be that the main institutions take the opportunity to wash the market, but retail investors who are not firm in their stance will be ruthlessly abandoned by the market in such a wash.
This round of decline in cotton prices may also be related to the strengthening of epidemic prevention and control in various places. As the New Year approaches, the mobility of people between places will inevitably increase significantly. In order to fight the epidemic prevention and control battle, various regions have raised the level of epidemic prevention and adopted more stringent measures, which will be negative for the market in the short term. However, under the premise of strong demand, there is limited room for cotton prices to fall, and the support at the 10,000-five mark is still strong.
The inauguration of the US President has ended, and the capital market will inevitably continue to “dance with sticks and swords” with the help of the epidemic. The rise or fall is likely to increase, and it is extremely important to prevent and control risks. </p
