The N/Z'10 spread bounced back out today after coming in close to 100 yesterday. There were only 14k left open as of this morning in the N'10 so we are getting down to the volatile stage as the last contracts trade hands. There is a good chance we will see N'10 jump around quite a bit over next weeks final days. Another 21k in decerts were made but a rumor out of India that the export ban could be lifted by October had the market under pressure early.

Fundamental demand remains light for current crop and new crop inquiries are the most active biz. The USD and equity markets traded sideways as we are mostly in expiration mode for the N'10 in cotton and don't expect any big moves in Z'10 until after expiration. New crop is still looking good so expect to see good pressure on the Z'10 near 80 cents as we wait for more information on the Northern hem crops going forward.