Friday’s round of trading lifted the board back up by 2.5% to 4% across the front months. For July, the 323 point rally into Memorial Day weekend only limited the week’s net move to a 337 point loss. Dec cotton was also 335 points weaker from Friday to Friday. The new crop contract is sitting at a net 65 point loss for the month of May.
The weekly CoT report showed short covering from the cotton spec traders during the week that ended 5/23. That flipped the group back to net long, via a 20.7k contract swing to 7,980 contracts. Commercial hedgers were adding shorts, with a 22k contract stronger net short of 58,131.
NOAA’s current 5-day QPF map has a storm off the coast of the Carolinas, with as much as 3” of rainfall inland for SC. Eastern GA will catch some, but most of the Southeast will stay dry this weekend. The TX panhandle is also expecting 1 to 2” of rainfall.
USDA’s weekly Cotton Market Review showed 20,376 bales were sold this week at an average price of 79.75 cents. The Cotlook A Index was 91.95 cents on 5/25 after another 250 point drop. The USDA’s FSA raised the AWP for cotton by 98 points to 69.80 cents/lb. ICE certified stocks were 63 bales on 5/25.
Jul 23 Cotton closed at 83.35, up 323 points,
Dec 23 Cotton closed at 80.54, up 204 points,
Mar 24 Cotton closed at 80.66, up 202 points
On the date of publication, Alan Brugler 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.
/AI%20(artificial%20intelligence)/Businessman%20touching%20the%20brain%20working%20of%20Artificial%20Intelligence%20(AI)%20Automation%20by%20Suttiphong%20Chandaeng%20via%20Shutterstock.jpg)
/Intel%20Corp_%20Santa%20Clara%20campus-by%20jejim%20via%20Shutterstock.jpg)
/EV%20in%20showroom%20by%20Robert%20Way%20via%20Shutterstock.jpg)
