Cotton futures up on short covering
Cotton futures registered their biggest intraday percentage gain in 11 days on Monday as investors covered short positions ahead of a weekly crop progress report from the US Department of Agriculture. “We’re seeing some short covering,” said Jobe Moss, a broker with MCM Inc in Lubbock, Texas.
“(Soybeans) are up a little bit, the US dollar is practically unchanged; there is nothing, really, to trade off of.” The December cotton contract on ICE Futures US settled up 0.25 cent, or 0.37 percent, at 68.28 cents per lb. It traded within a range of 67.63 and 68.90 cents a lb.
Total futures market volume fell by 9,110 to 14,799 lots. Data showed total open interest fell 5,607 to 230,641 contracts in the previous session. Specs cut net long position to 76,750 from 88,326 in the latest week. China, the world’s top textile exporter, imported 90,000 tonnes of cotton in July, down 10.2 percent year on year, official customs data showed on Monday.