The cotton market traded sharply higher Thursday, with some contract months touching limit-up bid. The reasons for the unexpected move were varied, but included Thursday’s improving shipment picture, a bake-in Fed decision and adherence to the bullish trend.

In addition, March cotton is attempting to overtake the expiration gap left behind by the defunct December 2021 contract. That price was $111.55.

The CFTC will issue its weekly commitment of traders numbers. Last report showed the managed-money funds had pared its long position to just about 70,000 contracts. However, such positive action by the ICE futures may entice them to wade in deeper.

As March cotton enters Friday’s trade, we note that it is up 3.45 cents on the week, 3.27 cents higher on the month, and stands 34.41 cents up on the year.

Thursday, March cotton settled at 109.68 cents, up 3.89 cents, July ended at 105.37 cents, up 3.23 cents and December ended at 90.59 cents, 0.88 cent higher; estimated volume was 30,939 contracts.