Cotton Closes Triple Digits Lower on Friday

Cotton futures posted 120 to 136 point losses in most contracts on Friday, as July was down 11.34% during May. On Thursday evening President Trump added a 5% tariff on all imports from Mexico (effective 6/10) and the US stock market tanked. The 7-day QPF shows heavy rainfall totals in northern TX over the next week, causing some concern over planting delays and crop health. As of Tuesday, Spec traders in Cotton futures and options backed off their record net short position by 1,882 contracts to -35,204 contracts. Cotton export sales in the week that ended on May 23 were tallied at 288,732 RB for old crop. The lead buyer was Vietnam of 120,700 RB, with India at 77,700 RB. New crop sales totaled 136,212 RB, with Mexico buying 23,600 RB and China at 15,400 RB. The Cotlook A index for May 28 was down 50 points from the previous day to 80.10 cents/lb. The weekly Average World Price (AWP) is now 61.31 cents/lb good through next Thursday, up 194 points from last week.

Jul 19 Cotton closed at 68.080, down 126 points,

Oct 19 Cotton closed at 67.770, down 136 points

Dec 19 Cotton closed at 67.070, down 125 points

--provided by Brugler Marketing & Management

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