7 Jul | Cotton Incorporated: Research and Innovation for the Cotton Industry
Interview wit Mark Messura, Senior Vice President, Global Supply Chain Marketing for Cotton Incorporated. (…)Read more
A Bit of Activity Observed
Reporting Period 02 July – 15 July 2020
The elapsing reporting period has seen more or less sideways movement of the New York cotton futures. At first, the futures increased and recorded one of the highest values since the beginning of the pandemic. But then they dropped again ending up at a level similar to the start of the reporting period. This development was brought about by the projected shortage of cotton area, the current climatic conditions especially in Texas and the figures of the USDA report for July. Internationally, there was a bit of activity observed. Pakistan as well as Vietnam has increasingly asked for cotton, and China continued purchasing U.S. cotton according to the Phase One Agreement.
The European market, however, has been calm and indicated that the summer holidays are coming closer. Even the Euro that has been strengthening in comparison to the U.S. dollar was not able to stimulate additional demand. Some contracts were closed. Many warehouses have likely still been full, though, due to limited production during the peak of the pandemic.
Bremen, July 16, 2020