Home / Knowledge / News / Textiles / Holiday fails to curb cotton trading
Holiday fails to curb cotton trading
02
May '08
Cotton traded in a 400 point range today on good volume. Overnight trading was higher following the bounce from yesterday, but ran into trade selling above 72.50. This upside momentum came off of friendly grain prices overnight and crop year highs for export sales released at 7:30 CST.

However, the upside ran out of steam and selling took over with weak grain openings which eventually went down the limit in other commodity and pushed cotton to near limit down levels as well. Volume was 31,000 futures and 13,000 options as the market continues to test the downside and even large export sales could not stop the bleeding.

Charts are looking very negative as the dollar and stock market take advantage of the spec liquidation in commodities. Basically, the FED sent the signal that rate cuts could pause going forward which will strengthen the dollar over the long term.

Europe and the rest of the world were on May day holiday today while the U.S. enjoyed the spotlight and the stock market reached 2008 highs breaking 13,000. Export sales last week registered impressive business in China with 450k sales alone and 650k total which set a season record.

However, there was only 200k in shipments which continues to put us behind where we need to be for the 07/08 export sales forecast by the USDA (see page 2 in attached PDF).

We are in a negative seasonal pattern as we approach the large Northern Hemisphere plantings to add to the fundamental weakness. Technically, we broke the strong support line at 70 cents in N'08 and the next strong line of support can be found at 66.13.

The cotton market feels like it could have some follow through downside tomorrow as there seems to be a change of commitment from specs to the commodity market.

Oil prices fell all the way to 110 before they bounced back, but the rest of the basket was down heavily as the CRB fell below 400. Short term feels weak and we may have to test the 66.13 support line in cotton before we can make a run at the highs.

Click here to view more:

ECOM USA Inc


Must ReadView All

Textiles | On 20th Aug 2017

PetroVietnam, Vinatex discuss reviving PVTEX plant

Discussions are under way between PetroVietnam and textile and...

Courtesy: Mexx

Fashion | On 20th Aug 2017

RNF acquires Mexx fashion brand

RNF, the Dutch sports and fashion holding, has purchased the global...

Textiles | On 20th Aug 2017

Intertextile Shanghai Home Textiles opens on August 23

Intertextile Shanghai Home Textiles, Asia’s leading platform to meet...

Interviews View All

Spokesperson
Hugo Boss

'Hugo Boss works with carefully selected sourcing partners'

Ghanshyam Ghoghari
Kimora Fashion

Bridalwear is not about reds and whites anymore

Anshul Sood
Oceedee

‘Indian footwear market is nascent and largely a trend follower’

Lynda Kelly
Suominen Corporation

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

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

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

August 2017

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
66.7%
No
16.7%
Skip
16.7%

Total Votes: 30

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
43.3%
No
36.7%
Skip
20.0%

Total Votes: 30

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
83.3%
No
6.7%
Skip
10.0%

Total Votes: 30

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
60.0%
No
10.0%
Skip
30.0%

Total Votes: 30


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