The cotton market finished fractionally higher Thursday, despite a weaker sales and exports data from USDA, and strong Dollar.
Thursday morning USDA reported slower sales numbers, which included a 1700 bales cancellation by China in the new crop numbers. Although weekly shipments were higher week-over-week, they were below the four-week average.
There were also some bearish changes to the West Texas forecast, which called for a rain event to possibly creep up. However, as of Thursday afternoon, those changes have been tapped down to near nil opportunities. That part of the Texas crop is approaching critical mass. It is already speculated about one-half of the dry-land will suffer severe losses, but there is time for other dry-land areas, and the irrigated to receive benefit.
The Dollar was higher today in response to Wednesday’s successful U.S.-Euro trade talks. Also, it is widely expected the Federal Reserve will hike interest rates at its next meeting on August 1.
December 18 Cotton settled 8823 up 26, March 19, 8810 up 30, and December 19, 8059 up 12.