Cotton Posts Gains After Bull Friendly USDA Data
Cotton futures settled the Thursday session with gains of 14 to 77 points, following US production cut from USDA. The dollar index was down 298 points, with crude oil futures back up $1.93/barrel to help support the market.
Export Sales data showed 116,052 RB of cotton sold for export in the week that ended on September 5, a 3-week low. Weekly export shipments were 119,136 RB in that week, the lowest in the 5 full weeks of the marketing year.
USDA Cotton Ginnings data showed a total of 466,700 RB of cotton had been ginned by September 1, all in TX and down 3.67% from the same time last year.
The monthly Crop Production report showed acreage relatively unchanged, with yield down 33 lbs/ac at 807 lbs. That helped to drop the production total by 596,000 bales to 14.512 million bales. Exports were trimmed by 200,000 bales with the overall stocks total down 500,000 bales to 4 million bales.
The Seam ported 3,571 online cash cotton bale sales on Wednesday, averaging 65.26 cents/lb. ICE cotton stocks were unchanged on September 11, leaving 265 bales of cert stocks. The Cotlook A Index was up 50 points on September 11 at 79.60 cents/lb. The USDA Adjusted World Price (AWP) was slashed by 127 points this afternoon 56 cents/lb. It is good through next Thursday.
Dec 24 Cotton closed at 70.38, up 77 points,
Mar 25 Cotton closed at 71.81, up 64 points,
May 25 Cotton closed at 72.94, up 58 points
On the date of publication, Austin Schroeder 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.