Cotton Rebounding from Limit Drop

Cotton is trading with a triple digit rebound into the Friday session. March cotton dropped by over 3 cents from 7 AM to 8 AM (central). March was lock limit lower by 11:30. For the week to date, prices are still a net 238 points higher with Friday to go. The other front month futures closed 272 to 378 points in the red. As March was the only limit loss, the board will remain under 4c trading limits for Friday.  The dollar index was higher on Wednesday and Thursday. 

USDA’s weekly Export Sales report had 87,805 RBs of cancelations for the week that ended 12/15. Vietnam was a buyer for 37k RBs, but China canceled 144k. The week’s export shipment was 110,440 RBs, with China as the top destination with 30k RBs. The season total export reached 3.63m RBs, which is 31% ahead of last year’s pace. 0

The Seam reported another 10,552 bales of cotton was sold on 12/21, with the average price at 83.96 cents. The Cotlook A Index for 12/21 was 360 points higher to 105.05 cents/lb. The updated AWP for cotton is 75.57 cents/lb, up by 332 points. ICE Certified Stocks were 8,901 bales on 12/19. 

Mar 23 Cotton  closed at 84.3, down 400 points, currently up 116 points 

May 23 Cotton  closed at 83.85, down 378 points, currently up 133 points

Jul 23 Cotton  closed at 83.51, down 326 points currently up 119 points