login_img.jpg
Login ID:
Password:
Partner Login
Contact Us : 7066511911

ICE cotton futures soften amid weak demand, profit-taking

18 May 2024 8:36 am
 Comments 0 Comments  |  Comments Post Comment  |  Font Size A A A 

Mumbai, 18 May (Commoditiescontrol): ICE cotton futures edged lower on Friday, heading for a weekly loss as weak demand and profit-taking weighed on the market. July cotton contracts fell by 35 points, closing at 75.89 cents per pound, while December and March contracts decreased by 22 points each to 74.97 cents and 76.58 cents per pound, respectively. The July contract has declined approximately 1.7% this week.

Cotton prices had risen over 2% on Thursday as investors capitalized on a recent price drop. However, this rally was short-lived as weak demand overshadowed the market. The U.S. Department of Agriculture's (USDA) weekly export sales report on Thursday revealed net sales of 156,500 running bales (RB) for 2023/2024, a 38% decrease from the previous week. Exports also fell by 4% to 238,800 RB.

The latest Crop Progress report indicated that cotton planting is progressing in key regions. In Texas, 28% of the crop has been planted, aligning with the average, while Georgia is slightly ahead at 35%, 3% above the average. However, adverse weather forecasts are expected to slow planting across the Southeast, including eastern Texas.

Globally, the USDA’s World Agricultural Outlook Board (WAOB) revised its carryout estimates for the 2023/24 cotton season downward by 2.6 million bales to 80.48 million, due to a smaller carry-in. Despite this, the WAOB projected an increase in 2024/25 ending stocks by 2.53 million bales to 83.01 million.

ICE certified cotton stocks increased by 5,969 bales on May 15, reaching 188,839 bales. The Seam reported the sale of 216 bales on May 16 at an average price of 59.95 cents per pound. The Cotlook A Index rose by 90 points on May 16 to 85.10 cents per pound, while the Adjusted World Price (AWP) dropped 18 points to 59.46 cents, effective through next week.

Large managed money speculators added 1,615 contracts to their net long position as of May 14, but remained net short 15,314 contracts, the largest net short position in nearly 11 months.

Traders anticipate technical support for the July cotton contract on Monday at 75.35 and 74.81 cents, with resistance at 76.63 and 77.37 cents.

(By Commoditiescontrol Bureau: 09820130172)


       
  Rate this story 1 out of 52 out of 53 out of 54 out of 55 out of 5 Rated
0.0

   Post comment
Comment :

Note : This forum is moderated. We reserve the right to not publish and/or edit the comment on the site, if the comment is offensive, contains inappropriate data or violates our editorial policy.
Name :  
Email :  
   

Post Comment  

Latest Market Commentary
ICE Cotton Futures Rebound as Traders Cover Shorts Ahea...
ZCE Cotton And Yarn Evening Closing - 18 JUNE 2024
ICE/ZCE Daily Rates Update ( Time: 20:18 ) - 18 JUNE 20...
Cotton Arrival Up in Madhya Pradesh; Cotton Candy Price...
Cotton Prices in Karnataka Remain Stable; Daily Arrival...
more
Top 5 News
Global equity/currency market update: Asian Shares Reac...
Rising Brazilian Sugar Production Pressures Global Pric...
ICE Cotton Futures Rebound as Traders Cover Shorts Ahea...
CBOT Wheat Futures Hit Two-Month Lows Amid U.S. Harvest...
Crude Oil Prices Edge Up Amid Geopolitical Tensions
Top 5 Special Reports
Weekly: ICE Sugar Futures Revived By ISO's Global Defic...
Weekly: Cotton Prices Slide for Third Consecutive Week ...
India Plans Boost in Arhar and Urad Dal Production to T...
US soybean net sales for May 31-June 6 at 377,100 MT, u...
US cotton net export sales for May 31-June 6 at 177,100...
Copyright © CC Commodity Info Services LLP. All rights reserved.