By Keith Brown, DTN Contributing Cotton Analyst
The cotton market was able to stage a small recovery and reduce its triple-digit losses by the close Tuesday. Most likely, the strong surge in the energy markets, as well as the recovering Chicago grains, helped that cause.
December cotton has entered its delivery and as of Tuesday there were no notices issued. Yet, its delivery event extends all the way to Dec. 8, the final expiration for the contract. We read there are only 400 bales in the certificated stocks.
The U.S. dollar continues to be a thorn in cotton’s side. On Monday, Jerome Powell was reappointed to a new four-year term as chairman of the Federal Reserve. The financial markets consider him to be more hawkish on inflation than his closest rival. Thus, the greenback stoked higher.
Wednesday is the day before the observance of Thanksgiving; thus, many traders will be absent, meaning volume may be muted. The market will reopen on Friday for an abbreviated session. To that end, USDA will delay its weekly export sales until Friday morning.
Tuesday, December settled at 120.36 cents, up 2.65 cents, March ended at 115.66 cents, down 0.31 cent and December 2022 ended at 91.62 cents, 0.37 cent lower; estimated volume was 14,713 contracts.Πηγή: Agfax