DTN Closing Cotton            11/21 13:37

   Cotton Dips Then Flips

   The cotton market posted yet another life-of-contract low (now five out of 
seven sessions) before closing out slightly higher today.

Keith Brown
DTN Contributing Cotton Analyst

   The cotton market posted yet another life-of-contract low (now five out of 
seven sessions) before closing out slightly higher today. The oversold 
condition and the strength in the Dow Jones may have encouraged some short 
covering.

   December cotton is in its delivery mechanism. Friday, the ICE Exchange 
reported 59 notices were issued against the spot contract. Term Commodities was 
the sole issuer with a host of sporadic stoppers on the receiving end. Delivery 
runs to Dec. 7.

   The CFTC is scheduled to release another Commitments of Traders Report today 
at 3:30 p.m. EST. Wednesday's catch-up data, as of Sept. 30, showed that 
managed-money traders were net sellers of 2,737 contracts, increasing their 
net-short status to 64,740. Their record bearish position stands at 79,957 
contracts.

   The Bureau of Labor Statistics said it was canceling the release of the 
October consumer price index set for Dec. 10. That move will leave the Federal 
Reserve without a key piece of inflation data before it next decides on 
interest rates on the same day. The CPI was canceled because the government 
shutdown made it impossible for the BLS to "retroactively collect" certain 
parts of survey data.

   The 6- to 10-day forecast (Nov. 26-30) shows much-below normal temperatures 
from Texas over to the Delta. The Southeast looks to be above normal. 
Rain-wise, the Texas to Georgia area is forecasted to see slightly above-normal 
chances.

   For Friday, March 2026 closed at 63.85 cents, plus 11 points; July 2026 
settled at 66.18 cents, up 7 points; and December 2026, ended at 67.59 cents, 
up 4 points. Friday's estimated volume was 35,575 contracts.

   Keith Brown can be reached at commodityconsults@gmail.com




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