Cotton price action is up 18 to 25 points so far on Wednesday. Futures posted Tuesday gains of 10 to 19 points at the close, as contracts held up despite a mildly bearish USDA report. Crude oil futures were down 49 cents per barrel at $58.39 on the day, with the US dollar index $0.114 higher to $99.175.
USDA’s Crop Production report left acreage alone, but raised yield by 10 lbs/acre to 929 lbs. That took production up 150,000 bales to 14.27 million bales. In the WASDE, there were some adjustments in the unaccounted and domestic use to take projected ending stocks up 200,000 bales to 4.5 million. The cash average price was trimmed by 2 cents to 60 cents/lb. The world stocks were left steady, as just a 40,000 bale increase was noted at 75.97 million bales.
