ICE cotton futures rises on robust China data
March 18 (Reuters) -U.S. cotton futures rose on Monday, buoyed by an upbeat industrial output and retail sales data from top consumer China, while a slightly higher dollar kept a lid on gains.
* Cotton contract for May CTc1 rose 1.01 cent, or about 1%, to 94.95 cents per lb by 12:03 p.m. ET (1603 GMT).
* "Improved Chinese economic news of retail sales and industrial production helped buoy the market," said Keith Brown, principal at cotton broker Keith Brown and Co, in Georgia.
* China's factory output and retail sales beat expectations in the January-February period, marking a solid start for 2024.
* "US dollar has gone from lower to higher and that's starting to break the cotton market a little... We'll get the planning intentions for the new crop, which can affect July cotton somewhat," Brown added.
* The dollar index rose 0.1%, making the natural fibre more expensive for buyers overseas. USD/
* The U.S. Department of Agriculture (USDA) will release the planting intentions report on March 28.
* Support also spilled from the higher equities and oil markets into the natural fibre..N O/R
* Higher oil prices make cotton-substitute polyester more expensive.
* In the grains market, Chicago wheat and corn rose as Russia's weekend attacks on Ukrainian ports supported prices, however soybean edged lower. GRA/
Reporting by Rahul Paswan in Bengaluru;
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
