Home / Knowledge / News / Textiles / Dec cotton futures move up just 14 points last week
Dec cotton futures move up just 14 points last week
18
Aug '14
In comparison to closing of August 8, the December New York cotton futures contract moved up only 14 points over last Friday’s (August 15) settlement and maintained a 200 point trading range on the week.

This leaves one thinking, that there wasn’t much happening in the cotton world last week.

However, there are a lot of things bouncing around behind the scenes, says the latest Ecom weekly cotton market report.

First, mills are waking up and realizing that getting their hands on physical cotton before the end of the year may be more difficult than previously expected.

For the few new purchases that they are able to make, they have been forced to pay high basis levels, especially for the few September shipments that merchants are willing to make.

Second, the USDA increased their U.S. production estimate to 17.5 million bales, up 1 million bales. The increase was in ranges predicted by analyst.

However, given the increased dryness of late in west Texas and farmers looking for any way out of these depressed prices (i.e. insurance paying more than the current market price) we will see estimated production number start to come down toward the 17 million bale level.

Finally, with the market bouncing around between 62.00 and 65.00 for the past few weeks it seems like something has to give.

Specs may start covering short futures if the market gets much above the 65.00 level, causing the market to “bounce” but if the market breaks much below the 62.00 level they could start adding to their short positions, forcing the market even lower.

Looking at the fundamentals and technical indicators, the report expects a bounce but, like it said last week, “Hold on when everyone expects something because the opposite seems to happen”.

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 27th Jun 2017

Govt defers tax deduction at source provision under GST

E-commerce players in India will not be required to deduct tax on...

Apparel/Garments | On 27th Jun 2017

Future Group aims Rs 12,000 crore in fashion business

Future Group, which runs retail stores across India under various...

Textiles | On 27th Jun 2017

AEPC & NSDL to help exporters with GST compliances

Apparel Export Promotion Council (AEPC) and National Securities...

Interviews View All

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Marten Alkhagen
Swerea IVF AB

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

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Pranav Mishra
Huemn

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

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

news category


Related Categories:
July 2017

July 2017

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

SUBSCRIBE


Browse Our Archives

GO


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