Cotton Pushes Lower Despite Solid Export Sales Data

Alan Brugler Barchart Thu May 9, 4:50PM CDT
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The cotton market continued their slide on Thursday, as were down 93 to 168 points on Thursday. That was despite a round of positive export data for the bulls. Cotton limits are back to 3 cents with July slipping back in the 70 cent level. The outside market influences were helpful but ignored, as the US dollar index was down 336 points, with crude oil up 56 cents.

The weekly Export Sales report from FAS showed an improvement to export business in the week ending in May 2, as old crop bookings jumped to a 13-week high of 253,660 RB. A good chunk of that was sold to China with importers buying 119,024 RB. New crop sales totaled 158,872 RB in that week the largest weekly sale for the crop this MY. Shipments were tallied at 249,628 RB, up 38.7% from a week ago.

ICE certified cotton stocks were down 791 on decertification on May 8 at 167,979 bales. The Cotlook A Index was up 55 points on May 7 at 85.40 cents/lb. The AWP dropped another 91 points to 59.64 on Thursday and is good through next week.

Jul 24 Cotton  closed at 78.6, down 146 points,

Oct 24 Cotton  closed at 77.75, down 119 points,

Mar 25 Cotton  closed at 78.01, down 118 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.