It’s Tuesday, do you know where your cotton market is? Futures are trading steady to 18 points lower. Cotton futures settled 130 to 203 lower on Monday. A sharply stronger US Dollar Index may be impairing export sales, or at least trade psychology.
NASS reported on Monday afternoon that 80% of the US cotton crop is planted, matching the 5 year average pace. Squaring is just a little ahead of average at 14% vs. 12%. Condition ratings declined, however, with 56% rated good/ex vs. 61% last week. That is still better than last year’s 49% for this date.
Warehouse cotton stocks continue to build ahead of July futures deliveries. ICE certified cotton stocks were up 1,430 bales on June 7 at 132,467 bales. There were 0 decerts, with 4,128 bales awaiting review. The Cotlook A Index was up 100 points on June 7 at 84.65 cents/lb. The USDA Average World Price (AWP) is 58.13 through Thursday.
Jul 24 Cotton closed at 71.81, down 203 points, currently down 18 points
Dec 24 Cotton closed at 71.59, down 130 points, currently down 1 points
Mar 25 Cotton closed at 73.24, down 140 points currently down 15 points
On the date of publication, Alan Brugler did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Disclosure Policy here.
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