Cotton Posts Mixed Action, with Outside Noise
Cotton futures closed the Monday session mixed, with the nearby contracts down 8 to 17 points and December rallying up 71 points. Crude oil was down $6.70 at the close, as the market is failed much upside follow through reaction following the US strikes on Iran nuclear facilities over the weekend. Iran released a missile attack on a US base in Qatar on Monday, though they gave the White House a heads up and no damage was reported. The US dollar index was down $0.312 on the day to 97.970.
The weekly Crop Progress report indicated that the US cotton crop was 92% planted as of June 22, lagging the average pace by 3 points. Overall, 26% of the crop was squaring, steady with normal, with 5% already setting bolls, 1% below average. Condition ratings saw a one point drop in the good to excellent categories, at 47%. The Brugler500 index was down a single point to 327 on a smaller very poor part of the crop.
Commitment of Traders data from this afternoon showed managed money trimming 1,828 contracts from their net short position as of June 17th to 51,031 contracts.
The Cotlook A Index was unchanged on 6/20 at 77.55. ICE cotton stocks were UNCH on June 20, with a certified stocks level of 62,332 bales. USDA’s Adjusted World Price (AWP) was up 1 point last week at 54.03 cents/lb and is effective through Thursday.
Jul 25 Cotton closed at 63.96, down 8 points,
Oct 25 Cotton closed at 66.88, down 17 points,
Dec 25 Cotton closed at 67.41, up 71 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.