Cotton prices consolidated near unchanged as scale down demand entered the market. S&D numbers which are summarized on page 2 were in line with expectations. The cuts in ending stocks added support to the market early but eventually gave way to scale up selling. Volume was average as cert stocks keep growing and open interest remains unchanged to higher.
The focus will now start to point toward new crop and the 10/11 numbers which should keep a lid on the market. China still has not returned to the market in large scale so this should lead to another average export sales report tomorrow. Demand will be the key to whether we can maintain the current levels in NY or we test the upper 70's as we slowly start to build carry back on the board.