Cotton Bends Up Tuesday
April 11, 2023
Tuesday's supply-demand report from USDA yielded no serious surprises for the cotton market.
Tuesday's supply-demand report from USDA yielded no serious surprises for the cotton market. Government tabulators did raise domestic exports, thereby cutting domestic carryout some 200,000 bales to 4.10 million. World carry however jumped some 860,000 bales to 92.01 million.
For the balance of the April WASDE, we note that:
USDA estimated U.S. 2022-23 corn carryout near 1,342 million vs. 1,319 expected.
USDA estimated U.S. 2022-23 soybean carryout near 210 million vs. 198 expected and 210 previous.
USDA estimated U.S. 2022-23 wheat carryout near 598 million vs. 574 expected and 568 previous.
USDA estimated Brazil corn crop at 125.0 vs. 125.0 previous, Argentina 37.0 vs. 40.0.
USDA estimated Brazil soybean crop at 154.0 vs. 153.0 previous, Argentina 27.0 vs. 33.0.
USDA estimated Russia wheat crop at 92.0 mmt vs. 92.0 previous
USDA estimated China soybean imports at 96.0 vs. 96.0 previous
Wednesday, traders will see updated CPI data. Then, on Thursday, the PPI and weekly export sales will be issued. Both economic reports will update the pace of inflation within the U.S. economy.
Options on spot May futures expire this Friday on the close.
Tuesday, May 2023 finished at 82.75 cents, plus 0.30 cent, July settled at 82.91 cents, up 0.18 cent and December 2023, ended at 82.90 cents, 0.27 cent higher. Estimated volume was 51,413 contracts.