DTN Closing Cotton            09/02 13:40

   Cotton Has "Bad Day"  

   Cotton dives near limit-down, rebounds toward ninety cents.

Keith Brown
DTN Contributing Cotton Analyst

   The cotton market traded sharply "underwater" today, coming within one point 
of touching limit-down. Then, akin to a beach ball, it snapped-up to hover near 
the 90-cent mark. According to analysts and traders, the market has become 
overly bloated with long spectators. There was an unsubstantiated rumor that 
the Trump/Xi meeting on September 24 had been postponed. Traders are looking 
ahead to tomorrow's export sales, and Friday's jobs report and CFTC update.

   Tomorrow at 8:30 a.m., USDA will release its latest round of export sales. 
Last week saw reduced net-sales of 95,000 bales for the current season, and 
30,000 for the 2027/2028 year. Shipments tallied 181,000 bales, which was also 
a low-end number.

   On Friday, traders will see new monthly jobs data for August. Last month, 
the Labor Department reported a net job loss of 85,000 non-farm jobs. The 
report is out at 8:30 a.m.

   Also, on Friday at 3:30 p.m., the CFTC will update its weekly C-O-T numbers. 
Last week, the managed-money funds bought some 17,000 positions, swelling their 
net-long carry to 95,000 contracts. Their record long position stands around 
108,000.

   The six-to-ten-day weather forecast (September 8-September 11) shows above 
normal temperatures for the breadth of the U.S. Cotton Belt. Texas will have 
slightly above-normal chances, while the Delta and the Southeast will have 
normal chances.    

   For today, December closed at 8893, down 262 points, March 2027 finished at 
9130 minus 238 points, and July 2027 settled at 9223, 199 points lower. Today's 
estimated volume was 107,487 contracts.

   Keith Brown can be reached at commodityconsults@gmail.com




(c) Copyright 2026 DTN, LLC. All rights reserved.