Oct 14, 2010 (Dow Jones Commodities News via Comtex) -- 1513 EDT [Dow Jones]--Cotton futures gained their maximum allowable amount for the third time in the last five sessions, hitting another fresh 15-year high and continuing a rapid rise that analysts say primes the market for an abrupt crash. Chinese demand has supported the market's ascension throughout the month, as the world's largest producer and consumer tries to make up for cotton lost to heavy rains earlier this year. But analysts say there is only so long that mills can buy at such high prices before they shift to cheaper man-made fibers or slow their purchases. Thursday's low volume indicates a simple absence of sellers, and there is concern that cotton's rise will end up doing damage to margins for mills and merchants. ICE December futures settled 4 cents, or 3.6%, higher at $1.1487 a pound.
DJ MARKET TALK: Cotton Gains Limit, Settles At 15-Year High
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