By Keith Brown, DTN Contributing Cotton Analyst 

The cotton market traded on both sides of Friday’s settlement several times Monday, as it was essentially at the mercy of outside markets. On one hand, there were the bullish metals and energy markets, while on the other there, was a strong U.S. dollar and a weaker Dow Jones. Of course, to some degree, the market is awaiting this week’s supply-demand update.

To that end, USDA will release its March crop report on Wednesday. Expectations call for a small reduction in world carryouts. With diminishing stocks and perhaps an improving shipping situation, cotton may yet find a floor.

Also on Wednesday, March cotton will expire at settlement. Some technical traders believe once March is gone, then the remaining old-crop contracts will improve in their prices.

On Thursday, USDA will issue its next weekly export-sales data. Last week saw both strong sales and shipments. Also Thursday morning, the Commerce Department will release its latest CPI information. The CPI tracks prices and the consumer levels, and thus reveals the inflationary pressures. Currently, inflation is running at a 40-year high.

May cotton settled at 116.94 cents, up 0.52 cent, July ended at 112.70 cents, down 0.41 cent and December finished at 101.21 cents, up 0.56 cent; estimated volume was 34,415 contracts.