Date 22-Oct 15-Oct 2022 Avg
Cotton Bolls Opening 98 87 92 90
Cotton Harvested 41 33 44 39
Crop Condition
Very Poor Poor Fair Good Excellent
Cotton This Week 24 19 28 24 5
Cotton Last Week 23 20 27 25 5
Cotton Last Year 21 24 25 26 4 FCOJGeneral Comments: FCOJ closed higher again yesterday, and the trends on the daily charts are up as the market seems to consolidate just below the highs set in the last couple of weeks. Reports of short supplies in Florida and Brazil are around. Futures are also being supported in forecasts for an above average hurricane season that could bring a storm to damage the trees once again. Historically low estimates of production due in part to the hurricanes and in part to the greening disease that have hurt production, but conditions are significantly better now with scattered showers and moderate temperatures. Nelsen said that retail prices are as high as they have ever been at $9.18/gallon. Demand is the lowest since 2001 at 24.08 million gallons for the four weeks ending on October 7.Overnight News: Florida should get isolated showers. Temperatures will average near normal. Brazil should get mostly dry conditions and near to above normal temperatures.Chart Trends: Trends in FCOJ are mixed to up with objectives of 410.00November. Support is at 387.00, 380.00, and 373.00 November, with resistance at 407.00, 410.00, and 413.00 November. CoffeeGeneral Comments: New York closed higher and London closed much higher yesterday on what appeared to be speculative and commercial buying tied to short covering. Trends are up in both markets. Light rains are now b3ing reported in central and southern growing areas of Brazil and conditions are called good. Demand for Robusta and lower quality Arabicas remains strong. The lack of offers from Asia, mostly from Vietnam but also Indonesia remains a main feature of the market, but the offers are starting to improve with the Vietnam harvest progressing and the US Dollar moving higher. Offers from Brazil and other countries in Latin America should be increasing but prices are considered a little cheap to create much selling interest from producers and the differentials offered have been very high. These are moderating as the new harvest comes to the market.Overnight News: ICE certified stocks are lower today at 0.417 million bags. The ICO daily average price is now 158.06 ct/lb. Brazil will get mostly dry conditions with near to above normal temperatures. Central America will get mostly dry conditions. Vietnam will see scattered showers.Chart Trends: Trends in New York are up with no objectives. Support is at 160.00, 155.00, and 153.00 December, and resistance is at 167.00, 170.00 and 173.00 December. Trends in London are up with no objectives. Support is at 2550, 2530, and 2500 November, with resistance at 2700, 2730, and 2760 November. SugarGeneral Comments: New York and London closed higher yesterday after holding support areas on the charts. A hook reversal formed and trends are still mixed, but could be turning up. Little has changed with the fundamentals and the market is still short of Sugar. There are still forecasts for and reports of rain in Brazil after a spell of very hot and dry conditions and this has delayed loading of ships. The market continues to see stressful conditions in Asian production areas. The Brail rains is underway now, but showers have been light and scattered. The Asian dryness is still the main feature. Many growing areas in India have been dry, and exports have indicated that production has suffered. The government there now says it will have more than enough production for the domestic demand but will limit exports to help control inflation. There are also worries about the Thai and Indian production potential due to El Nino. Offers from Brazil are still active but other origins are still not offering, and demand is still strong. Brazil ports are very congested so shipment of Sugar has been slower. Mexico is hot and dry and there are increasing concerns about production there.Overnight News: Brazil will get mostly dry conditions in the south and scattered showers in the north. Temperatures should average near to below normal. India will get mostly dry conditions and below normal temperatures.Chart Trends: Trends in New York are mixed. Support is at 2630, 2620, and 2540 March and resistance is at 2770, 2790, and 2810 March. Trends in London are mixed. Support is at 737.00, 725.00, and 719.00 December, with resistance at 749.00, 753.00, and 756.00 December. CocoaGeneral Comments: New York and London closed higher yesterday, and the trends are still up in both markets. The EU grind data was stronger than expected and was down 0.9% from last year. The North American grind data was weaker by 17.9%. Cocoa arrivals at Ivory Coast ports dropped 16.2% for the marketing year when compared to last year. The main crop harvest comes into focus and as farmers in West Africa report good pod development. The supply and demand situation remains bullish. Ideas of tight supplies remain based on more reports of reduced arrivals in Ivory Coast and Ghana continue, Midcrop production ideas are lower now with diseases reported in the trees due to too much rain that could also affect the main crop production.Overnight News: Isolated showers are forecast for West Africa. Temperatures will be near normal. Malaysia and Indonesia should see scattered showers. Temperatures should average near normal. Brazil will get isolated showers and near to above normal temperatures. ICE certified stocks are lower today at 4.661 million bags.Chart Trends: Trends in New York are up with objectives of 3800 December. Support is at 3600, 3580, and 3500 December, with resistance at 3700, 3750, and 3800 December. Trends in London are up with no objectives. Support is at 3170, 3050, and 3000 December, with resistance at 3290, 3320, and 3350 December.More By This Author:Grains Report – Monday, October 23Softs Report – Monday, October 23Softs Report – Friday, October 20
