Market Movement from 25th Sep 2023 to 30th Sep 2023.
• The ICE December cotton futures traded at 87.15 cents per pound, reflecting an increase from its value of 85.91 cents on September 22nd. Throughout the week, there was a notable uptick in cotton prices, reaching a high of 89.89 cents per pound on September 28th, resulting in a week-to-week change of 1.24 cents to the upside. However, when comparing the monthly changes, the cotton futures showed a decrease.
Cotton’s Tight Price Range Faces Little Pressure to Change
Sep 29, 2023
This week’s cotton rally was technical based. Fundamentals have essentially prohibited the market from moving above the 90-cent mark, a resistance level that has withstood four challenges. The resistance line is neither battered nor bruised, but eventually a door that is continually kicked will break.
Dec cotton futures gave up 53 points on the week (the very same 53 points it gained last week) finishing at 85.91, with the Dec – Mar spread strengthening a bit to (84). Last week, our models predicted a finish on the week that was to be near-unchanged to higher Vs the previous week’s finish, which proved to be correct. Dec has commenced the new week notably higher.
• Fed Held Interest Rates Steady at September Meeting • A Net Total of 105,400 Upland Bales and 800 Pima Bales were Sold for the Week Ending September 14 • Above Average Temperatures and Precipitation Expected in the Week Ahead