From USDA | May 17, 2019
Average quotations were 622 points lower than the previous week, according to the USDA, Agricultural Marketing Service’s Cotton and Tobacco Program. Quotations for the base quality of cotton (color 41, leaf 4, staple 34, mike 35-36 and 43-49, strength 27.0-28.9, and uniformity 81.0-81.9) in the seven designated markets averaged 61.23 cents per pound for the week ending Thursday, May 16, 2019.
This is the lowest weekly average since week ending May 26, 2016 when the average was 60.90. The weekly average was down from 67.45 last week and from 80.19 cents reported the corresponding period a year ago.
Daily average quotations ranged from a high of 62.91 cents Friday, May 10 to a low of 59.91 cents Monday, May 13. Spot transactions reported in the Daily Spot Cotton Quotations for the week ended May 16 totaled 1,905 bales. This compares to 21,210 reported last week and 33,669 spot transactions reported the corresponding week a year ago.
Total spot transactions for the season were 1,164,230 bales compared to 1,946,150 bales the corresponding week a year ago. The ICE July settlement prices ended the week at 66.80 cents, compared to 70.23 cents last week.
USDA ANNOUNCES SPECIAL IMPORT QUOTA #4 FOR UPLAND COTTON May 16, 2019
The Department of Agriculture’s Commodity Credit Corporation announced a special import quota for upland cotton that permits importation of a quantity of upland cotton equal to one week’s domestic mill use. The quota will be established on May 23, 2019, allowing importation of 12,041,208 kilograms (55,304 bales) of upland cotton.
Quota number 4 will be established as of May 23, 2019, and will apply to upland cotton purchased not later than August 20, 2019, and entered into the U.S. not later than November 18, 2019. The quota is equivalent to one week’s consumption of cotton by domestic mills at the seasonally-adjusted average rate for the period January through March 2019, the most recent three months for which data are available. Future quotas, in addition to the quantity announced, will be established if price conditions warrant. (Source: Agfax.com)