Cotton Surges Above 90 Cents

Cotton futures have breached the 90 cent mark, trading 49 to 147 points higher this morning. They had ended Friday with 17 to 42 point gains. USDA’s preliminary Outlook Forum estimates for new crop cotton were for a 17.5m bale crop on 12m planted acres. Production was well above the trade average guess of 16.43m bales, however carryout matched expectations as USDA forecasted 3.8m bales. The cash price estimate was 75 cents. The weekly CoT report showed managed money was 68,568 contracts net long in cotton futures and options as of 2/16. Commercials were 157,169 contracts net short. Cotton bookings from the weekly Export Sales update were 119,515 RBs. That was down 57% on the week and was 66% below the same week last year. China booked 37% of the total sales on the week. USDA’s weekly cotton market review average price for the week ending 2/19 was 84.73 The Cotlook A index was 50 points higher to 95.10 cents for Feb 18. The week’s AWP for cotton is 73.13 cents/lb.

--- provided by Brugler Marketing & Management

Market Commentary provided by:

Brugler Marketing & Management LLC
1908 N. 203rd St.Omaha, NE 68022
Phone: 402-697-3623
Fax: 402-289-2353

Did you know Brugler Marketing & Management has more to offer to you than just this free daily commentary?! Producers just like you rely on our custom research and daily guidance on when and how to market their commodities. Click here to learn more about what we have to offer, or call 402-697-3623. Do it today!

Do you want to know what trades Alan Brugler recommends? Subscribe to Ag Market Professional, and become part of the Brugler client group! Not sure? Ask for a FREE SAMPLE and get two FREE GIFTS! Start here

Want this Ag News delivered to your inbox? Get the FREE Brugler Ag Newsletter, delivered 3 times daily.