August 12, 2020
NEW YORK: (Reuters): ICE cotton futures climbed more than one percent on Tuesday after a federal report highlighted low crop quality in major US growing regions, while anticipation of higher imports from China lent further support.
Cotton contracts for December rose 0.75 cent, or 1.2%, at 63.55 cents per lb at 1:40 p.m. EDT (1740 GMT), which could be its biggest daily gain in one week.
“The weather in west Texas remains extremely dry and it’s still impacting production over there,” said Jack Scoville, vice president at Chicago-based Price Futures Group, adding a weaker dollar was adding further support.
The United States Department of Agriculture’s (USDA) weekly crop progress report on Monday showed 42% of the crop in good/excellent condition, compared with 56% a year ago.
Total futures market volume fell by 11,092 to 11,821 lots. Data showed total open interest fell 1,311 to 190,897 contracts in the previous session.—Reuters (Source: Business Recorder)