Keith Brown DTN Contributing Cotton Analyst
After staring at some bearish USDA supply-demand numbers, the cotton market was able to shrug off that negative data to close moderately higher Monday. Perhaps lending cotton a helping hand were the positive numbers for corn and soybeans. In addition, the dollar stayed lower all day.
Currently, the 2022 cotton crop stands at 13.83 million bales, up 1.26 million bales from the August report. Domestic carryout jumped some 900,000 bales and is at 2.70 million bales. World carryout increased about 2.00 million bales to 84.75 million.
Monday afternoon, USDA will also issue its weekly crop progress report. At the heart of this data will be the "bolls open" category, given all of the continuous rain episodes, which have been plaguing the Delta and the Southeast.
On Thursday, USDA will supposedly release its updated export-sales data. That weekly publication has been absent from the market ever since USDA attempted to swap reporting platforms more than one month ago. Street talk has it that this week's exports-sales may reflect up to one million accumulated bales.
For Monday, December closed at 105.71 cents, up 0.87 cents, March 2023 finished at 102.37 cents, up 0.92 cent and July 2023 settled at 96.91 cents, 0.64 cent; estimated volume was 25,248 contracts.
Keith Brown can be reached at commodityconsults@gmail.com
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