Home / Knowledge / News / Textiles / Cotton market bounces back
Cotton market bounces back
02
Oct '08
NY cotton recovered from the previous two consecutive contract lows and saw a bounce Wednesday session in the oversold area. The open interest in cotton was reduced by 5,300 contracts yesterday and is now under 200,000 contracts for the first time since end August last year.

Overnight ICE opened at 76 points higher and managed to hold at that level. The market is cautious in making any major movements today before the senate's vote on the financial rescue plan. The trading range in cotton is a little over 100 points and the options pit remained active despite the Jewish holiday.

General commodities market was still showing a loss. Cotton eventually settled at a strong 109 points higher on December contract with average trading volume.

Financial markets are anxiously awaiting on the senate's vote of the bailout plan tonight. The sharp drop in equities Monday created a perfect opportunity for some investors who were ready to pick up good deals. Tuesday session recovered part of the loss from Monday, but investors grew more cautious in making big moves. Dow average was down over 200 points in the early trading, but settled with only a marginal loss.

The U.S. economic picture is certainly not looking good with the bailout plan rejected by the House, neither is the global picture. The weak economic conditions are hitting Asia as well as Europe and there does not appear to be an end nearby. The fear of economic slowdown is worldwide and the commodity prices are affected accordingly. We're trading in the 50's range and demand should come in at this level.

However, the tight credit situation is proved hard on the mills. It looks very bearish both fundamentally and technically and the MACD crossed downwards not long ago. Thought it's not possible to pick a bottom yet, the deep the drop, the sharper the bounce will be.

Click here to view more:

ECOM USA Inc


Must ReadView All

Textiles | On 24th Jul 2017

Govt extends deadline for GST composition scheme to Aug 16

The Government on India has extended the deadline for small...

L-R: Dhanapal, JMD, Best Corporation; Prabhu Damodaran, Convenor, ITF; Narayanasamy, MD, Micro Cotspin; Senthilnathan, MD Rasitex India; and Sabapathy, MD, Prasanna Spinning Mills

Textiles | On 24th Jul 2017

TN mills seek partnership with cotton growing states

Spinning mills in Tamil Nadu are seeking stronger partnership with...

Textiles | On 24th Jul 2017

Irani terms GST as a ‘great step towards transparency’

Union textiles minister Smriti Irani has termed the Goods and...

Interviews View All

Priyanka
Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Nuno Venda
ROQ

‘There has been an increase in demand for water based inks, rather than...

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Lynda Kelly
Suominen Corporation

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

Igor Chapurin
Chapurin

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

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

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

July 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

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

Yes No

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

Yes No

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


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



X