– Reporting Period 11 May – 24 May 2023 –
At the beginning of the reporting period, ICE Cotton No.2 futures saw significant gains. On Friday of last week, prices reached a high near the 87 ct/lb mark, the highest since January of this year.
However, at the beginning of this week, quotations lowered again somewhat. Experts attributed the reasons for this to the strengthening dollar as well as estimates that the precipitation announced for South Texas according to weather forecasts is likely to have a positive effect on the US cotton harvest: classic price behavior with expected oversupply.
It was not only in Europe that demand was perceived as disappointing during the reporting period. The uncertain market situation is leading to cautious purchasing behavior among spinning mills.