Cotton Continuing Bounce on Thursday Morning
Cotton prices are up 20 to 58 points this morning ahead of the Export Sales report. A key question for the report is whether previous purchases are being shipped fast enough to meet the USDA full year estimate. Futures were up modestly on Wednesday, with contracts up 10 to 38 points. That was despite negative outside factors, as crude oil was up just 7 cents/barrel and the US dollar index rallied 461 points.
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 2,819 bales on June 25 at 100,381 bales. The Cotlook A Index was up 125 points on June 25 at 83.45 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 tomorrow and will be updated.
Jul 24 Cotton closed at 72.7, up 10 points, currently unch
Dec 24 Cotton closed at 75.34, up 27 points, currently up 38 points
Mar 25 Cotton closed at 76.75, up 33 points, currently up 24 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 Barchart Disclosure Policy here.