|
DTN Closing Cotton 03/27 13:35
Cotton Reverts Lower Wednesday
Despite the strength shown Tuesday, technical and fundamental weakness
returned to the cotton market Wednesday.
Keith Brown
DTN Contributing Cotton Analyst
Despite the strength shown Tuesday, technical and fundamental weakness
returned to the cotton market Wednesday. The ICE Futures suffered triple-digit
losses on moderate volume. Traders are now awaiting Thursday's export sales,
acreage intentions, and quarterly grain stocks reports.
Thursday at 8:30 a.m. EDT, USDA will issue its weekly Export Sales and
Shipments report. The highlight last week was the marketing-year high shipment
number of 397,000-plus bales.
For the intentions report, the average industry estimate at 10.906 million
cotton acres. The range of guesses span from 10.24 million to 11.30 million.
USDA's Outlook Forum in February had the number at 11.0 million. For some
context, acres were 10.23 million in 2023/2024 and 13.75 million in 2022/2023.
On Friday, the Labor Department will release its PCE inflation index. This
report monitors certain consumer purchasing patterns and is closely watched by
Federal Reserve analysts. The core PCE index is seen rising 0.3% in February,
which would keep the annual pace at 2.8%.
Wednesday, May cotton was at 90.77 cents, down 2.64 cents; July was 91.44
cents, minus 2.42 cents; and December finished at 83.34, .96 cent lower.
Wednesday's estimated volume was 42,281 contracts.
Keith Brown can be reached at commodityconsults@gmail.com
(c) Copyright 2024 DTN, LLC. All rights reserved.
For more free DTN information sent right to your email each morning - click here to sign up for DTN Snapshot.
|
|