Cotton at one-year low as investors roll positions

Feb 12 (Reuters) - ICE cotton futures slipped more than 1
percent to their lowest since November 2017 after investors
liquidated their long positions and rolled over their positions
from the front month contract.
* The most active cotton contract on ICE Futures U.S., the
March
contract , settled down 0.77 cent, or 1.09 percent, at
69.78 cents per lb.
* The front-month contract fell to 69.72 cents, its
lowest
since Nov. 17, 2017.
* "The USDA numbers on Friday really decided to weigh down
on the
prices and there is lot of pressure on the cotton market and
there is lot of selling coming in," said Jon Marcus, president
of the Lakefront Futures and Options brokerage firm in Chicago.
* "Longs are liquidating, I think everyone is kind of
repositioning ... We are seeing some rolling over from March to
May," he said.
* The first notice day for the March contact is due on Feb.
22.
* Top U.S. officials arrived in China for trade talks as the
two
countries attempt to strike a trade deal before a March 1
deadline. President Donald Trump said on Tuesday he would
consider extending the deadline if the two sides were close to
an agreement.
* Total futures market volume fell by 15,376 to 62,713 lots.
Data
showed total open interest fell 427 to 244,926 contracts in the
previous session.
* Certificated cotton stocks <CERT-COT-STX> deliverable as
of Feb.
11 totaled 127,358 480-lb bales, down from 127,446 in the
previous session.


(Reporting by Brijesh Patel in Bengaluru; Editing by Steve
Orlofsky)


2019-02-12 21:53:05

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