By Keith Brown, DTN Contributing Cotton Analyst 

The cotton market posted a higher weekly close, but it was tough trading. Initially on Monday, USDA came out to report the 2020 crop condition had actually improved, despite hot and dry temperatures gripping much of the Cotton Belt the week prior. That data came out on the heels of USDA expectedly ramping the 2020 crop higher. However, Thursday, the weekly export sales somewhat saved the day as sales were strong, but shipments were dynamic. Specifically, shipments were 421,500 bales with China taking 191,800 bales and Vietnam some 82,000 bales. Cumulative sales have reached 48% of the 2020-21 forecast versus the five-year average of 42%.

Next week, the market will see condition data on Monday. However, traders will be eyeing the two tropical depression on the cusps of entering the Gulf of Mexico. It will be the first time in 60 years, two named storms will be in the Gulf at the same time.

Cotton traders are also watching for a new U.S.-China review of the phase-one trade deal. The original meeting was canceled, we now know by President Trump. However, the treaty does require a review, but the white house has not announced a date.

For the week, December cotton finished 1.43 cents higher, for the month so far, 1.62 cents up and for the year it stands down 6.08 cents. That latter is a far piece from the April COVID-19 low of 50.15 cents.

Friday, December cotton closed at 64.28 cents, down 0.24 cents, March ended at 65.20 cents, down 0.22 cent and December 2021 settled at 64.36 cents, down 0.29 cent. Estimated volume was 16,964 contracts.