Home / Knowledge / News / Textiles / Export sales report fails to cheer cotton market

Export sales report fails to cheer cotton market

May '07
Light volume today as the market traded in a tight range that was set by 30 pts lower in the electronic trading to 30 pts higher in the open outcry within the first hour. The rest of the day was spent near unchanged as the market was not too excited about the export sales report. Sales were respectable at 401,000 running bales, but 21% lower than last week with 100,000 bales going to China and 60,000 each going to Turkey and Pakistan.

Considering the weak U.S. dollar and NY futures trading at life of contract lows, there is concern why sales are not stronger. Shipments remained above average at 346,000 bales but well below where we need to be to hit the USDA target of 13.5 million bales. At the moment, we are estimating it could be closer to a 350,000 b/c average for the remainder of the marketing year and that would put us closer to 12 million bales and increase ending stocks above 10 mbs and close to 60% stocks to use!

In the short term, cert stocks remain over 700,000 b/c, full carry on the board does not encourage cheap sales even at these levels, over 10 million bales in the loan that have to be redeemed and hedged over the next 3-4 months or worst case defaulted and put out in large government catalogs. Plus the spec and fund pressure in the short term, does not look very optimistic for a nearby rally. Go Mavs!

Volume was below average today with about 50% trading electronically on a combined 9,500 futures with 4,900 calls and 3,600 puts. We are now forming fairly strong resistance above 49.00 cents and even have a gap between 48.95 and 49.25.

Planting has fallen behind compared to last year at this time with too much moisture in Texas and not enough in the Delta. The West is on schedule and there is still plenty of time, but certainly this could be an issue by the end of the month.

Click here to view graphical presentation:


Must ReadView All

S Korea signs free trade agreement with Cambodia

Textiles | On 26th Oct 2021

S Korea signs free trade agreement with Cambodia

South Korea and Cambodia have signed a free trade agreement to deepen ...

Pic: Shutterstock

Retail | On 26th Oct 2021

UK retail sales volumes drop by 0.2% in Sept 2021: ONS

UK retail sales volumes fell by 0.2 per cent in September following...

S Korea, Philippines sign free trade agreement

Textiles | On 26th Oct 2021

S Korea, Philippines sign free trade agreement

South Korea recently signed a free trade agreement with the...

Interviews View All

Footwear Industry, Footwear Retailers

Footwear Industry
Footwear Retailers

Still struggling to mop up higher sales

International apparel brands, Head honchos

International apparel brands
Head honchos

Launched first collection at onset of Covid

Textile Industry, Head honchos

Textile Industry
Head honchos

Switch was not 100% pandemic related

Dhirubhai & Arvind Shah,

Dhirubhai & Arvind Shah

It supplies synthetic fabrics to top international brands like M&S,...

Sanjay Jhunjhunwalla,

Sanjay Jhunjhunwalla

In the financial hub of eastern India, Kolkata, a humble production...

Chini Chouhan,

Chini Chouhan

Founded by Chini Chouhan, her eponymous brand specialises in women's...

Silverio Baranzano, Fitesa

Silverio Baranzano

Fitesa is a leader in the nonwoven fabrics industry, specialising in...

Seth Casden, Hologenix

Seth Casden

Hologenix is a material sciences company dedicated to developing products...

Karan Bose, Hula Global

Karan Bose
Hula Global

Hula Global, a leading isolation gown manufacturer in India, has been...

Suman Nathwani, Suman Nathwani

Suman Nathwani
Suman Nathwani

Designer <b>Suman Nathwani</b> talks about her journey of opening a...

Gavin Miguel, Label Gavin Miguel

Gavin Miguel
Label Gavin Miguel

Acclaimed fashion designer <b>Gavin Migue</b>l is known for his couture...

Gaurang Shah, Label Gaurang Shah

Gaurang Shah
Label Gaurang Shah

Hyderabad based designer <b>Gaurang Shah</b>, has been traversing the...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

October 2021

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

Advanced Search