Archive for October, 2015

Total net export sales for the week ending Oct 22 were off vs the previous week at 77.6K running bales. Net sales were approximately 50% of the weekly pace required in order to meet the USDA’s 10.2M bale export target. Total shipments were slightly higher at 74.5K running bales. Sales cancelations were again near non-existent. Total commitments against the new marketing year are now nearly 37% of the USDA’s export projection and new crop sales will need to average approximately 157K running bales per week in order to meet the target.

We view today’s data as bearish.

The Dec contract picked up 33 points today ahead of the weekly US cotton export report and the start of the Rogers roll, settling at 62.67. The settlement was within the upper one half of today’s tight trading range. Mar gained 30 points, settling at 62.46, the net effect leaving the Dec – Mar spread near unchanged at 21. Volume slowed D/D in the Dec contract at approximately 9.5K contracts while Dec OI contracted at approximately 110K contracts.

For tomorrow…