More Demand in a Falling Market

In view of the continuously falling cotton quotations at the ICE in New York mill demand intensified during the week under report. However, the prices for effective cotton did not drop to the same extend. Among other reasons, Euro-payers suffered from the weaker currency rate vs. the US-dollar. Additionally, the container shipping rates North European ports strongly went up in the past months and the offering prices from the countries of origins remained firm. Consequently, business on a replacement basis was virtually excluded. What remained were short term covering purchases.

In the Upland range contracts were verified in Central Asian sorts for prompt and until 2nd quarter 2010; West African styles and Greek descriptions for the 1st quarter 2010.

From the extra-fine cottons, smaller quantities of Egyptian GIZA 88 and 86 were traded for prompt delivery.