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DTN Closing Cotton 10/17 13:37
Cotton Holds Technical Line
The cotton market posted another higher close Friday as its recent positive
action encouraged short-sold traders to cover, and others to do some
bargain-basement buying.
Keith Brown
DTN Contributing Cotton Analyst
The cotton market posted another higher close Friday as its recent positive
action encouraged short-sold traders to cover, and others to do some
bargain-basement buying. The market however remains in a steep downtrend.
China's central Yellow River Basin and portions of the North China Plain and
Yangtze River Basin are reporting heavy rains during this past week. The ground
is saturated from weeks of frequent rain and flooding was believed to have
caused damage and slowed the harvesting of summer crops.
As of this writing, the meeting between Presidents Trump and Xi is still on
during an economic conference in South Korea at the end of the month. Thus,
there remains at least a glimmer of hope for a trade deal. Although China has
been a decent buyer of U.S. cotton this year, Xinjiang crop appears to be in
good shape this year.
Crude oil was lower today after the IEA forecast a growing international
glut. Also, the news of another Trump/Putin meeting was seen as "price
negative." Recently, Ukrainian drone strikes on Russian refineries and the
threat of secondary sanctions on buyers of Russian oil has set a "small floor"
under the market.
For Friday, December 2025 ended at 64.28 cents, up 55 points, while March
2026 halted at 65.78 cents, plus 49 points. Friday's estimated volume was
38,268 contracts.
Keith Brown can be reached at commodityconsults@gmail.com
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