August 28 2013
After a sharp drop of the futures in New York at the beginning of the reported week caused mainly by technical reasons inquiries at the domestic market showed a stronger purchasing interest of the textile industry in general.
Opposite to the reported revived business in Far East the turnover of medium staple cotton was limited. Often quotations of the trade and price ideas of the processing industry were too different. A few buyers only were ready to take advantage of the price development and bought new crop cotton, while others without urgent needs remain to wait for more attractive offers.
A much different behavior of buyers was reported for long and extra-long staple cotton in view of rising prices due to shrinking available stocks. Expecting tight supplies also in the future buyers tended to secure their needs for old and new crop until end of this year and closed much more contracts compared to the previous weeks.
It was reported in detail:
• Medium staple cotton:
Cotton from Central Asia and Greek cotton for prompt delivery up to the 4th quarter 2013.
• Long- and extra-long staple cotton:
Egyptian Giza 86 for prompt delivery. Egyptian Giza 88, Israel Pima, USA Pima and Sudan Barakat for prompt up to the 4th quarter 2013. USA SJV Acala for the 4th quarter 2013 and the 1st quarter 2014. (Source: Bremen Cotton Exchange)