Cotton prices are steady to 69 points higher on Wednesday morning. Futures rallied another 70 to 193 points higher on Tuesday. Drier weather across TX and other parts of the southeast in the next week was likely providing some short covering. Outside factors were a negative, with crude oil back down 89 cents/barrel, as the US dollar index was up 164 points.
The weekly NASS Crop Progress report showed overall crop condition ratings up 1% point to 56% gd/ex, as the Brugler500 index was down 4 points at 342 on a shift to more very poor ratings. Crop ratings by state saw TX down 4 points to 324, with GA down 2 to 353
Friday will be busy, with the June Acreage report released by NASS. Traders are estimating on average a 156,000 acre increase to cotton acreage from the March Intentions report at 10.829 million acres. The range is from 10.5 to 11.2 million acres.
The ICE certified cotton stocks were down 27,597 bales on June 24 at 100,381 bales. There were 28,363 decerts, 766 new certs and 0 bales awaiting review. The Cotlook A Index was down 50 points on June 24 at 82.20 cents/lb. The USDA Average World Price (AWP) was down another 67 points to 56.65 cents per pound last Thursday. It is good through this week.
Jul 24 Cotton closed at 72.6, up 131 points, currently up 69 points
Dec 24 Cotton closed at 75.07, up 168 points, currently unch
Mar 25 Cotton closed at 76.42, up 159 points, currently unch
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.
Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.
