By admin       2018-01-27

ICE cotton futures fell nearly 2 percent on Friday, in the biggest one-day percentage decline in over four months, after a bearish weekly export sales report from the U.S. government. The most active ICE cotton contract for March expiry settled down 1.4 cents at 80.48 cents per lb. It hit its lowest since Jan. 12 at 80.32 cents a lb. "Sales in exports today were just a little bit of fundamental incentive to break the market and that's what we're doing," said Keith Brown, principal at cotton brokers Keith Brown and Co in Moultrie, Georgia. The U.S. Department of Agriculture (USDA) on Friday reported exports of 232,500 running bales for the week ended Jan. 18, which were down 20 percent from the previous week and 12 percent from the prior 4-week average. Net upland sales totaled 67,700 running bales for 2017-18 for the same period, down 75 percent from the week before and 70 percent from the prior four-week average. "The market is currently overbought. We've come up too fast too high without any sort of correction," Brown said. Cotton futures touched their highest level since March 2014 at 84.65 cents earlier this month. On Friday, cotton futures fell 1.7 percent and ended the week 3.5 percent lower, recording the biggest daily and weekly percentage declines since mid-September. Total futures market volume rose by 10,967 to 45,772 lots. Data showed total open interest gained 1,539 to 320,744 contracts in the previous session

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