Cotton #2 Futures Market News and Commentary
Front month cotton futures were mixed with Gains for December and March, yet losses for July and October ’22. December printed the largest move by the close, with 23 points which limited the week’s pullback to 3.27 cents below last Friday. December 2022 contracts were 7 points weaker on the day to 89.94 cents.
FAS Export Sales data for the week that ended 10/7 showed 146,653 RBs of cotton was booked. That was a 6 week low. Total commitments were 7.62m RBs, which is down 7.5% from last season’s pace.
Managed money was 87,445 contracts net long in cotton at the 10/12 settle. CFTC data confirmed a week of long liquidation, amounting to 9,757 fewer longs. Commercial cotton traders reduced their net short by 9,383 contracts to 174,733 contracts.
The Seam reported 6,226 bales were sold on 10/14, marking the largest daily sale since 9.2k on 6/11. The average gross price was $1.0802. The weekly Cotton Classings report showed 247,217 bales of upland cotton were classe... Read more