Home / Knowledge / News / December cotton to trade higher
December cotton to trade higher
22
Oct '07
New York cotton futures edged higher this week as mill demand for non U.S. growths increased significantly. This coupled with USDA's announcement that 2008 U.S. planted cotton acreage would drop to 10 million acres took the red December futures to its contract high and positioned the 2007 December to possibly move above 67-68 cents.

The reality that all field crops are in short supply, relative to demand, came center stage to the market this week. While a set back could occur, December cotton will trade higher.

Our comment last week that the current December futures price, 63-64 cents, could be the lowest price we will see for cotton for the next two to three years is looking more and more prophetic. While world carryover is above 55 million bales, the world stocks to use ratio remains at a fourteen year low. Yet, cotton prices are in no position to fight for increased acreage in 2008. Thus, U.S. and world stocks will move lower.

Both U.S. and world oilseed and grain prices have far outstretched the price increase in world cotton prices. The world agricultural commodity markets are all trading soybeans and wheat and those crops will command the bulk of acreage, possibly forcing U.S. cotton acreage even below the ten million acre level. Impossible it seems, but U.S. planted acreage could be in the single digits, even as low as 9.0 million acres.

Chinese mills were aggressive buyers this week, but not of U.S. growths. As stated several times over the past year, Chinese mills have had considerable success in spinning Indian cotton.


Must ReadView All

US announces final CVD on fine denier PSF from China, India

Textiles | On 19th Jan 2018

US announces final CVD on fine denier PSF from China, India

The US secretary of commerce Wilbur Ross recently announced the...

EU consumers to gain from cheaper, safer, better e-payments

Apparel/Garments | On 19th Jan 2018

EU consumers to gain from cheaper, safer, better e-payments

European consumers can now reap the full benefits of paying online...

Telangana minister pitches for investments in S Korea

Textiles | On 19th Jan 2018

Telangana minister pitches for investments in S Korea

Industries and information technology minister of India’s Telangana...

Interviews View All

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Abhimanyu Singh Rathore & Barbara Anna Kosiorek
Kannbar

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Shiladitya K Joshi
Truetzschler India Private Limited

India ITME provides a platform to interact with our stakeholders

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

January 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.1%
No
13.4%
Skip
17.5%

Total Votes: 97

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.9%
No
28.9%
Skip
7.2%

Total Votes: 97

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.6%
No
9.3%
Skip
3.1%

Total Votes: 97

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
8.2%
Skip
9.3%

Total Votes: 97


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search