By Keith Brown, DTN Contributing Cotton Analyst
The cotton market reversed course Friday to close with triple-digit gains. This week the market saw a bullish supply and demand report and bullish export sales, which fundamentally rallied prices. USDA lowered the 2021 crop and ending stocks in its January WASDE. The spot March has gained nearly 3% so far this week, posting its sixth higher consecutive week of higher closings.
The energy markets were demonstratively bullish Friday as some production problems are emerging in several global areas. Oil prices rose to a two-and-a-half month high, while the U.S. dollar was heading for its worst week in eight months.
The CFTC will update its traders status in Friday afternoon’s commitment of traders report. Last count the managed-money funds were some 80,200 contracts net long.
For the week March cotton was up 4.58 cents, for the month and year it’s up 7.10 cents, respectively.
As a reminder the market will be closed for Martin Luther King Day on Monday. Trading will resume on Monday night.
Friday, March cotton settled at 119.70 cents, up 2.86 cents, July ended at 113.36 cents, up 1.22 cents and December finished at 96.83 cents, 1.15 cents higher; estimated volume was 25,183 contracts.Πηγή: Agfax