U.S. all-cotton 2015-16 export commitments reached 97% of the USDA forecast and shipments totaled 74%. U.S. Far East premium dipped.
Cotton futures fell in the face of a jump in U.S. weekly export sales as a strengthening greenback triggered broad losses Thursday in U.S. dollar-denominated commodities.
Spot July settled down 98 points to 61.07 cents, in the lower third of its 155-point range from up 10 points at 62.15 to down 145 points at 60.60 cents. December finished down 89 points to 60.86 cents, trading within a 143-point band from 61.85 to 60.42 cents.
Volume was estimated at an electronically estimated 27,800 lots, up from a final 23,076 lots the previous session.
Net U.S. all-cotton export sales of 201,100 running bales during the week ended May 12 for shipment this season, up from 180,700 RB the previous week, brought 2015-16 commitments to 8.492 million RB.
The gap behind year-ago commitments narrowed 129,000 RB to 2.206 million RB or to 21% and were 97% of the USDA export forecast. A year ago, commitments were 98% of final 2014-15 exports.
All-cotton shipments quickened to 245,000 RB from 180,700 RB the previous week, boosting the total for the season to 6.467 million RB. Shipments lagged 1.84 million RB or 22% behind exports a year ago and totaled 74% of the USDA forecast, compared with 76% of the final 2014-15 count at the corresponding pint last season.
Weekly shipments averaging roughly 205,700 RB are needed to achieve the USDA projection, which is 20% below last seasonΆs exports.
Net sales of upland and Pima combined for shipment next season of 54,200 RB, up from 5,400 RB the week before, hiked 2016-17 commitments to 1.241 million RB, slightly ahead of year-ago forward bookings of 1.213 million RB.
Commitments for next season were 12% of USDAΆs May forecast. A year ago, forward sales were 14% of the current 2015-16 estimate.
On the competitive-pricing front, the average of the five lowest-quoted world growths for the Far East rose 23 points to 68.15 cents during the week ended Thursday, according to USDA calculations, while the lowest-priced U.S. cotton landed there dropped 15 points to 69.35 cents.
The U.S. premium thus narrowed 38 points to 1.20 cents. The adjusted world price for the program week ending next Thursday, reflecting transportation and quality differentials, is figured at 50.42 cents, up from 50.19 cents, resulting in a corresponding decrease in the marketing loan gain to 1.58 cents.
The fine count adjustment for qualities better than 31-3-35, reflecting differences in premiums in the U.S. and international markets, will remain at zero.
Certificated stocks increased 1,872 bales to 87,353, with 5,221 bales awaiting review at Memphis.
