Textile companies are currently holding back on purchases, waiting for new policy announcements. Both buyers and sellers are in a deadlock, expecting the market direction after the release of storage policies. The late stage of Xinjiang's seed cotton procurement has boosted confidence among cotton traders regarding the market outlook. Although most regions have nearly finished picking seed cotton, and the quality of the sold cotton is declining, the overall market remains optimistic, and the prices of cotton by-products have not dropped. As a result, seed cotton prices are still slightly rising, while lint prices remain stable. Seed cotton prices continue to show a steady upward trend, and the main spot price for lint remains smooth. Cotton enterprises are gradually increasing their stockpiles. Textile firms are still waiting for policy clarity and have largely stopped buying. The market is in a state of hesitation, with both sides waiting for the next move after any new policy announcement. In Xinjiang, the late-stage cotton acquisition has led to increased confidence among traders. Currently, the selling prices in Xinjiang are roughly similar to those on the mainland, but processing plants are reluctant to sell their stored cotton. This cautious approach reflects the uncertainty in the market, as stakeholders look for clearer signals before making decisions. With the upcoming policy updates, the market is expected to see more activity, and prices may adjust accordingly. For now, the cotton sector remains in a holding pattern, awaiting further developments.
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