General Comments: Futures were higher in consolidation trading and ideas of good demand left from the weekly export sales report from USDA. The sales were big and China was the major buyer. Planting conditions for the next crop remain a problem in the US. Rains are moving through the Delta and Southeast through this weekend to slow planting progress, and Texas is cold again. Weather will be watched as more wet weather in the Delta and Southeast could create less interest in corn and more in cotton to avoid having corn pollinate in the hottest time of the year. So far, planting of all crops is slow. Short term trends are trying to turn down, but bulls got a lot of help yesterday from the strong demand news.
Overnight News: The Delta and Southeast will see mostly dry weather until rains develop in the Delta on Friday. Temperatures will average above normal. Texas will get mostly dry weather. Temperatures will average near to above normal. The USDA spot price is now 81.52 ct/lb. ICE said that certified Cotton stocks are now 0.494 million bales, from 0.495 million yesterday. ICE said that delivery notices were 0 contracts today and now total 545 contracts for the month.
Chart Trends: Trends in Cotton are mixed. Support is at 83.60, 82.85, and 82.20 July, with resistance of 87.60, 88.05, and 88.50 July.
General Comments: Futures closed higher in consolidation trading. Traders are wrestling with more reports of losses from greening disease on the one side and beneficial rains that have hit the state and are expected to hit the state later this week on the other hand. The growing conditions in Florida are expected to improve with the rains. Greening disease and what it might mean to production prospects continues to be a primary support item. Irrigation is widespread, even with recent rains. Temperatures are warm in the state. The Valencia harvest is continuing. Brazil is seeing near to above normal temperatures and dry weather.
Overnight News: Florida weather forecasts call for just a few light showers. Temperatures will average near to above normal. ICE said that 4 delivery notices were posted today and that total deliveries for the month are 104 contracts.
Chart Trends: Trends in FCOJ are mixed. Support is at 141.00, 139.00, and 136.00 July, with resistance at 145.00, 146.00, and 147.50 July.
Next page: Coffee, Sugar and Cocoa
General Comments: Futures were higher as details leaked on the Brazil government price support program for its producers. Some talked of colder forecasts for Brazil as a reason to buy. The program could have the effect of temporarily causing some tightness in supplies in the spot market as selling from Brazil could be deferred. Longer term, the Coffee will still be there so rally potential would be limited. Prices in general have been weak as traders anticipate another big crop out of Brazil starting the summer, and bears note that better rains should help increase Vietnamese production potential this year. Ideas are that supplies available to the market are good. Current crop development is still good this year in Brazil, but it has been dry for the past week and dry conditions are forecast to continue. Central America crops are mostly harvested and it is too dry for good new crop flowering. Colombia is reported to have good conditions.
Overnight News: Certified stocks are higher today and are about 2.740 million bags. ICE delivery notices are 0 contracts today and now total 158 contracts for the month. The ICO composite price is now 129.44 ct/lb. Brazil should get mostly dry conditions. Temperatures will average near to above normal. Colombia should get scattered showers, and Central America and Mexico should get mostly dry conditions. Temperatures should average near to above normal. Colombia produced 1.08 million bags of Coffee in April, and exported 810,000 bags.
Chart Trends: Trends in New York are mixed to down with objectives of 126.00 and 116.00 July. Support is at 135.00, 133.00, and 131.00 July, and resistance is at 142.00, 145.00, and 147.00 July. Trends in London are mixed to up with objectives of 2050, 2090, and 2150 July. Support is at 2010, 1970, and 1955 July, and resistance is at 2035, 2050, and 2075 July. Trends in Sao Paulo are mixed to down with objectives of 161 September. Support is at 163.00, 162.00, and 161.00 September, and resistance is at 166.00, 167.50, and 170.00 September.
General Comments: Futures closed lower. Traders remain bearish on supplies, especially from Brazil, and this has hurt New York prices. However, the market seems unable to sustain the down trend and might have factored in all the bearish news for now. Traders are keeping an eye on developments in Brazil and expect big production as the harvest moves forward. Brazil mills could concentrate on Ethanol production first and Sugar production second, and that could create some short term shortages for the market. Sugar producers in Russia said that the planting pace has turned slow there as producers wrestle with high costs of production against falling domestic and world prices. Chart patterns are mixed for the short term.
Overnight News: Mostly dry conditions are expected in Brazil. Temperatures should average near to above normal.
Chart Trends: Trends in New York are mixed. Support is at 1720, 1710, and 1680 July, and resistance is at 1780, 1800, and 1835 July. Trends in London are mixed to down with objectives of 486.00 and 481.00 August. Support is at 496.00, 494.00, and 491.00 August, and resistance is at 501.00, 504.00, and 510.00 August.
General Comments: Futures closed slightly higher in consolidation trading. Chart patterns suggest further rallies could be coming down the road and demand has been better than trade expectations. The flow of Cocoa from western Africa is down for seasonal considerations, and traders wonder about the quality and size of the mid-crop after some hot and dry weather during the growing season. Ideas are that production in West Africa could be less next crop year as well despite the improved weather as farmers have not liked offered prices. The mid-crop harvest is underway, and less than expected production along with smaller beans is reported. Malaysia and Indonesia crops appear to be in good condition and weather is called favorable, although some say that too much rain is hurting the harvest in Indonesia.
Overnight News: Scattered showers are expected in West Africa. Temperatures will average near to above normal. Malaysia and Indonesia should see episodes of isolated showers. Temperatures should average near normal. Brazil will get mostly dry conditions and warm temperatures. ICE certified stocks are lower today at 4.618 million bags. ICE said 0 delivery notices were posted against May contracts today and that total deliveries are now 743 contracts.
Chart Trends: Trends in New York are mixed to up with objectives of 2485 and 2530 July. Support is at 2400, 2370, and 2320 July, with resistance at 2435, 2460, and 2490 July. Trends in London are up with objectives of 1670 July. Support is at 1560, 1545, and 1515 July, with resistance at 1590, 1610, and 1620 July.