Quotes Markets Page Cotton News DTN Ag Headlines Headline News Market News Weather

Printable Page Cotton News   Return to Menu - Page 1 3 4 5 6
DTN Closing Cotton            03/22 13:42

   Cotton Lower on Profit-Taking

   The cotton market was lower Friday as end-of-the-week profit-taking was the 
main feature of the day. 

By Keith Brown
DTN Cotton Correspondent

   The cotton market was lower Friday as end-of-the-week profit-taking was the 
main feature of the day. Thursday saw an early strong bullish surge as USDA 
issued friendly sales and exports data. That rally caused the market to trade 
up-and-out of a long-standing bearish down channel, which encouraged short-sold 
speculators to buy in some of their positions. Thursday's volume was already at 
45,000 plus contracts.  Yet, Friday was all about holding on and holding up. 

   A week from Friday, USDA will issue its long-awaited planting intentions for 
2019. Talk is that acres will be huge as there are not many alternative crops 
across the South. Nonetheless, Mother Nature may see to it what we say we will 
plant may not be what we eventually harvest. In addition, we understand some 
key cotton areas of China are becoming dry. Remember, cotton production is as 
much a Northern Hemispheric game as it is a domestic one. 

   Basis Thursday's sales and exports data, as of March 15, cumulative cotton 
sales are running about 89% of USDA's original target for 2018-19 season. This 
also compares to the five-year average of 90.5% for sales this time of year. 
Thus, if a trade deal were to get done with China, there remains enough time 
for sales to surge higher into late season. 

   For the week, May cotton is up 1.08 cents. For the day, May cotton settled 
at 76.58 cents, down 0.60 cent, July finished at 77.57 cents, down 0.46 cent 
and December closed at 75.30 cents, down 0.03 cent. Friday's estimated volume 
was 35,000 contracts. 

   Keith Brown can be reached at commodityconsults@gmail.com or by calling 
(229) 890-7780.


Copyright 2019 DTN/The Progressive Farmer. All rights reserved.

For more free DTN information sent right to your email each morning - click here to sign up for DTN Snapshot.
Copyright DTN. All rights reserved. Disclaimer.
Powered By DTN