1506 EDT [Dow Jones] ICE cotton futures posted modest losses Tuesday as
prices consolidate after nearing two-year highs last week. Follow-through
buying wanes at new higher levels. Despite the potential supportive influences
of a weak dollar and triple-digit gains on Wall Street, cotton fell. "The
market looks tired," says Mike Stevens, independent broker and analyst based in
Mandeville, La., says. The lack of fresh credible news out of Pakistan and the
extent of the crop losses there due to devastating floods has allowed prices to
weaken, he says. Heat stress is being relieved across much of the U.S. cotton
belt after taking a slight toll over the last two weeks. The portion of the
U.S. crop rated good to excellent declined to 62%, from 65% the previous week,
the USDA says. Still, the crop is well ahead of last year's rating of just 50%
good to excellent. Futures volume is pegged at 12,426 contracts, with 6,516
calls and 4,502 put options traded. Most active Dec cotton on ICE lost 0.16
cent, or 0.19%, to settle at 83.86 cents a pound.