Market Movement from 02nd Dec 2019 to 07th Dec 2019
• The likelihood of an early conclusion of a ‘phase one’ trade agreement between the US and China remained at the forefront of trade concerns, and the tenor of reports from each country was rather mixed. On Friday china's announcement of waiver of import tariffs for some soybean and pork shipments also gave boost of NY cotton futures. On Friday NY March Future closed at 66.00 cents per lb, 149 points higher than previous close and 64 points higher w/w.
Cotton surges over 2pc on trade deal hopes, strong US data
Cotton futures jumped more than 2% on Friday, lifted by upbeat comments from US President Donald Trump on trade talks with China, while robust monthly jobs report out of the United States provided further support to the market.
Cotton March futures rose 1.61 cents, or 2.5% – on track for their biggest daily percentage gain in nearly two months – to 66.12 cents per lb by 1:40 p.m. ET (1840 GMT).
The cotton market staged a strong rally Friday on bullish anticipation of a U.S.-China trade deal and a friendly USDA supply/demand report of next Tuesday. Then, late in the session, profit-taking hit the trade and pulled the market off, but into the close prices shored up. However, it was cotton’s best day in many weeks.