Marketing Stories

Market Analysis

Plexus: Market Stuck In the Middle of Nowhere

September 5, 2014

The market seems to be stuck in the middle of nowhere at the moment, as December cotton reflects the current tight transition period and the bears continue to pressure March pricing.

Market Analysis

Export Market Bumping Prices Upward

September 2, 2014

The delay of deliverable 2014 world production supplies, coupled with limited availability of old crop export grade cotton, has kept a bit of a fire burning under the market.

Market Analysis

Plexus: Market Edges Up on Tight Supplies

August 29, 2014

As merchants and mills wait for new crop cotton to impact the market, they are finding out that supplies for nearby shipment are both pricey and hard to come by.

Market Analysis

A Change in China’s Cotton Policy Is Coming. Just Don’t Ask When.

August 28, 2014

Anthony Tancredi of Louis Dreyfus Commodities says the most important thing for anyone in the market to know is what China’s cotton policy is. The problem: no one knows – or is sharing – the policy details.

Market Analysis

Shurley on Cotton: Prices Show Faint Signs of Life

August 25, 2014

Prices (Dec14 futures) appear to have turned trend up, at least for the short-term. But, they're likely to meet resistance around 68 cents, meaning we may have some rocky ground to plow in order to return to prices starting with a 7.

Market Analysis

Market Bumps Up Over World Supply Worries

August 23, 2014

Concern over the amount of cotton available outside of China continues to dominate trading.

Plexus: Positive Market Moves in Past Week Ease Bearish Pattern

August 22, 2014

December cotton finally broke out to the upside in the past week on expanding volume and rising open interest, with the August 21 close marking the highest level in four weeks.

“Market Neutral” Report Keeps Bears at Bay – For Now

August 14, 2014

What many considered a very bearish August Supply/Demand Report has been digested by market forces and determined to be market neutral. Most likely, the 62 cent price floor has developed enough depth to protect the price from sliding any lower.

Cotton Board Approves Funding for Cotton Incorporated, Elects New Officers

August 13, 2014

The Cotton Board voted to recommend Cotton Incorporated’s proposed 2015 budget of $80 million to the Secretary of Agriculture.

Shurley on Cotton: August Numbers Likely Neutral to Bearish

August 12, 2014

The August USDA crop production and supply/demand numbers are best described as a mixed bag. Increases in U.S. exports and World Use are good news, as is the fact that ending stocks didn’t increase.

U.S. Production, Exports and Ending Stocks Increase in Past Month, Says USDA

August 12, 2014

USDA’s World Agricultural Supply and Demand Estimates for August show forecasted increases in production, exports and ending stocks for U.S. cotton.

Chinese Mills Eyeing U.S. Cotton as Prices Near Consolidation

August 8, 2014

Cotton prices attempted to consolidate a bit this week in the face of weather problems around the globe, as well as Chinese mills seeking imports of high grade cotton.

Shurley on Cotton – Prices Again Try to Consolidate

August 8, 2014

What will it take for prices to find a level of support low enough that the market sentiment will finally say “enough” and turn the outlook more bullish than bearish?

Latest News

Market Analysis

With WTO Brazil Settled, Cotton Casts a Wary Eye on Chinese Policy

October 31, 2014

With the conclusion of the WTO Brazil case, the U.S. cotton industry can bring a renewed focus to the challenges ahead, coming from a familiar source.

Market Analysis

Shurley on Cotton: Lackluster Week Closes on a High Note

October 27, 2014

An end of week uptick closed the market up 81 points from the previous week. But the longer-term direction is still sideways, with a range of mostly 62 to 67 cents.

Market Analysis

Same Song, Same Tune – Market Sings the Low-to-Mid 60s Blues

October 24, 2014

The same record that has been spinning for weeks is still playing. The 61 to 62 cent price resistance holds firm, attempts to close above 65 cents continue to be thwarted, and the potential for a short covering rally lingers strong in the background.

Market Analysis

Plexus: Market “Boxed In” Between Support and Resistance

October 24, 2014

Volatility dropped this week, as the market is discounting a scenario in which prices are not expected to change significantly over the coming months. Once all harvest is complete and sorted out, we may see renewed pressure on cash prices.

News

Cotton’s 24 Hour Runway Show Returns for Third Year

October 23, 2014

Cotton Incorporated will again host Cotton’s 24 Hour Runway Show – a fashion marathon featuring a different cotton look every minute – in early November.

Market Analysis

Sleepy Market Hiding Potential Volatility

October 20, 2014

Cotton trading remains locked in a rather wide ten cent trading channel, but actively trading only a four cent band around 63 cents – 61 to 65 cents, that is. In other words, maybe we are being lulled to sleep.

Market Analysis

Plexus: Market on Firm Footing Through Harvest

October 17, 2014

December prices should remain on firm footing until the bulk of the U.S. crop has been harvested and the quality is known. But the massive global inventory probably means a sideways-to-lower market going forward.

Market Analysis

Demand for Quality Cotton Keeps Market Positive

October 11, 2014

The market spent most of the week in positive territory, as its ability to close higher continues to voice the immediate need for quality cotton.

Market Analysis

Shurley on Cotton: Fragile Market Shows Improvement, Outlook Still Cautious

October 11, 2014

After recently falling to the 61-cent level, prices have made a modest, but still welcomed, recovery.

Marketing

U.S. Loan Program Could Take Price Pressure Off of Cotton Farmers

October 7, 2014

With cotton prices sitting below the threshold that triggers government loan repayment assistance, the pressure for growers to move their cotton to market after harvest may be reduced.

Market Analysis

Chinese Government Now a Marketplace Fundamental

October 6, 2014

The more things change, the more they stay the same. But through their recent actions, the primary fundamental in the marketplace has now become the Chinese government.