By admin       2017-06-15

June 14 (Reuters) - ICE cotton futures fell to a 4-1/2-month low on Wednesday on expectations of increased production in the United States.Government data on Monday showed that as of June 11, 92 percent of the U.S. crop had been planted compared to a 5-year average of 90 percent."There is some concern regarding the size of the U.S. crop and potential exports. We think the crop is rated in better condition than what it is. But, that's what the USDA has published and market is going to trade," said Louis Rose, co-founder and director of research and analytics at Rose Commodity Group, said in a note.There is certainly an opportunity for the market to go up with so much unfixed positions, but it is going to be temporary."Cotton contracts for December settled down 0.87 cent, or 1.21 percent, at 70.95 cents per lb. It traded within a range of 70.86 and 72 cents a lb.Prices hit a low of 70.86, its worst since January 24.The hot temperatures forecast into the weekend over the High Plains of Texas will surely have all the bulls chirping buy cotton, its burning up out there. However, the charts are telling us a completely different story," Jobe Moss, a broker with MCM Inc in Lubbock, Texas, wrote in a note.The daily and weekly trends have solidly turned down, Moss added.Total futures market volume fell by 10,404 to 37,025 lots. Data showed total open interest gained 472 to 234,543 contracts in the previous session.Certificated cotton stocks deliverable as of June 13 totaled 468,011 480-lb bales, up from 458,935 in the previous session. (Reporting By Nallur Sethuraman in Bengaluru; editing by Diane Craft).

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