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DTN Closing Cotton 11/06 13:37
Cotton Follows the Herd
The cotton market was lower today, as surrounding markets were collectively
down.
Keith Brown
DTN Contributing Cotton Analyst
The cotton market was lower today, as surrounding markets were collectively
down. The Dow, Chicago grains, livestock and precious metals were all in full
retreat mode. Fears arising from the tariff challenge unfolding in the U.S.
Supreme Court were the driving concern.
News wires are reporting that certain Chinese supply chain operators have
signed contracts today totaling over $5.2 billion with seven agribusinesses and
trading houses including Cargill and Louis Dreyfus Company. The contracts
covered soybeans, corn and cotton, among other goods.
USDA says it will employ field surveys in its upcoming WASDE. This report
will include the government's first updated estimates of U.S. corn and soybean
yield and production since Sept. 12, when most of the Midwestern harvest was
not yet underway. The October crop report was not issued due to the shutdown. A
year ago, USDA surveyed approximately 5,840 farmers for its November crop
production report.
Friday, options on the December contract will expire at the close of the ICE
futures. Their expiration will affect the market's total open interest levels.
December cotton will enter its delivery on Nov. 21. Thus, all traders,
except those intending to participate in the notice process, will have to
liquidate or roll forward in time.
For Thursday, December 2025 ended at 64.54 cents, down 69 points, while
March 2026 closed at 65.77 cents, down 63 points. Thursday's estimated volume
was 75,965 contracts.
Keith Brown can be reached at commodityconsults@gmail.com
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