Reserve's Buying Policy Shaped by Need for Textiles and Food

摘要

The global supply and demand of cotton can be affected by many variables, such as macroeconomic factors and inclement weather. The fiber's price fluctuates in a wider range than grains, and it is more volatile too, experiencing major surges and dramatic drops. That factor makes it difficult for China's government to regulate its cotton market - but it is even harder for officials to balance the interests of multiple industries in the short term. The biggest influence on the global textile industry today is the weakness of many major economies, particularly the United States and European Union. Until consumer confidence increases and consumers feel comfortable spending money on clothes again, there's not much that can be done to impact the textile industry.