Lock Limit Drop for Friday Cotton Market

Cotton Fabric and Textiles on Spools

Old crop cotton futures will see expanded 5 cent limits on Monday after ending the Friday session down the limit. Board strength earlier in the week kept prices 2c higher for the week’s net move. New crop futures were 86 points lower on Friday and a net 44 points weaker Friday to Friday. 

CFTC’s weekly Commitment of Traders report showed managed money funds were adding new longs in cotton during the week that ended 2/27. That net new buying strengthened their net long by 7.9k contracts to 94,038. The commercial cotton hedgers added 3.4k new short hedges and dropped 1.6k longs for a 134,264 contract net short as of 2/27. 

The Cotlook A Index for 2/28 was 370 points higher at 105.25 cents/lb. The Seam recorded 5,791 bales sold on 2/27 for an average price of 89.1 cents/lb. The AWP was updated to 77.47 cents/lb on Thursday afternoon, a 235 point increase from the week prior. ICE certified stocks were 1,022 bales as of 2/29. 


May 24 Cotton  closed at 95.57, down 400 points,

Jul 24 Cotton  closed at 93.77, down 400 points,

Dec 24 Cotton  closed at 82.95, down 86 points

On the date of publication, Alan Brugler did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.