Cotton Closes off Highs but still in Black

Afternoon cotton trading had futures pull back from early session highs. Futures were still in the black at the close with gains of 13 to 48 points. USDA has the new crop cash average cotton price at 75 cents/lb, and left the 20/21 cash price at 68. 

The May reports showed old crop carryout was reduced by 0.6 m bales to 3.3 million. Getting there was from a smaller acres (but better yield now seen at 847 lbs/acre) and a 0.5m bump to exports now at 16.25 million bales. For new crop, USDA has the initial production forecast set at 17m bales. NMY exports are expected to be 14.7 million which would be down from 2020/21’s already record pace.   

Sales reported on The Seam 1,240 bales sold on 5/11 for an average price of 83.24 cents/lb. USDA’s 5/12 Daily Spot Quotations report said 707 bales were sold at spot. The 5/10 Cotlook A index was down another 115 points to 93.60 cents/lb. The AWP for cotton is 71.39 cents/lb and will be updated after tomorrow’s close. 

Jul 21 Cotton  closed at 88.23, up 48 points,

Dec 21 Cotton  closed at 85.67, up 14 points,

Mar 22 Cotton  closed at 85.25, up 13 points

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