December cotton pushed higher for a second day on Thursday, finishing up 2.24 cents at 92.79, as hot temperatures continue to cover west Texas.
December cotton prices closed up 2.24 cents at 92.79 Thursday, fighting back from earlier losses this week and overcoming Thursday’s report of low export sales to finish back near its contract high. Hot temperatures in west Texas continue to help support prices while the seven-day forecast expects moderate rains to help crops across the Southeastern U.S.
Thursday’s report of export sales from USDA showed old-crop cotton sales of just 6,800 running bales last week, the lowest so far in 2017-18. Exports of 576,400 running bales, however, were a marketing-year high with Vietnam named as the top destination.
Surveying conditions around the globe, west Texas continues to stand out as the worst area of drought with other cotton regions doing mostly well, so far.
Early Thursday, China’s state reserve sold 18,050 tons of cotton, which was 60% of the amount offered.
The ICE daily stocks report showed certified stocks unchanged again on Wednesday, at 78,666.
In cash online trading, The Seam showed 1,617 bales sold Wednesday at an average price of 63.60 cents. Average loan value was 41.96 cents and 29,785 bales were offered.
The Cotlook A Index of world values for Wednesday, June 6 was down 2.10 at 97.50 cents, putting the premium over the July futures settlement at 6.55 cents.
Outside Markets: The June U.S. dollar index is down 0.23 at 93.40. August gold is up $0.10 at $1,301.50, while July silver is up 5 cents and July copper is up $0.0030. The Dow Jones Industrial Average is up 107 points at 25,253. July crude oil is up $1.24 at $65.97. July heating oil is up $0.0528, while July RBOB gasoline is up $0.0478 and July natural gas is up $0.033.