General Comments: Futures closed a little lower as traders got ready for the USDA reports that will be released this morning. Some follow through buying was tied to reports of very hot weather conditions in Chinese production areas that could hurt yields. China buys a lot of US Cotton and might need to buy more if production there is hurt. US crops remain behind the normal pace. The poor planting conditions early in the year have made the crop progress behind normal. Temperatures are warmer again in Texas, and it has turned dry again. Conditions in Alabama, Mississippi, and Missouri are good after some big rains earlier in the growing season and rains in recent days as well. Export sales have been on the weak side lately as the buy side of the market waits for prices to work lower. World production ideas are also high. Weather for Cotton still appears good in India.
Overnight News: The Delta and Southeast will see mostly dry weather today and tomorrow and showers this weekend. Temperatures will average near to above normal. Texas will see dry weather this week and maybe a shower in the north. Temperatures will average above normal. The USDA spot price is now 84.96 ct/lb. ICE said that certified Cotton stocks are now 0.051 million bales, from 0.062 million yesterday.
Chart Trends: Trends in Cotton are up with objectives of 89.60 and 92.80 October. Support is at 87.80, 87.45, and 87.00 October, with resistance of 89.65, 90.10, and 90.70 October.
General Comments: Futures closed lower again as the weather c continues mostly good in Florida. It was mostly a quiet session. The most active part of the hurricane season is here, but there are no storms on the horizon. The bulk of the tropical Atlantic is seeing some very dry conditions and wind shear to prevent tropical storm development. Growing conditions in the state of Florida remain mostly good. Showers are reported and conditions are said to be very good in almost the entire state. Temperatures are warm. Brazil is seeing near to above normal temperatures and mostly dry weather, and there are reports of stress to trees and the potential for lower production.
Overnight News: Florida weather forecasts call for some showers, but mostly dry conditions. Temperatures will average near normal.
Chart Trends: Trends in FCOJ are down with no objectives. Support is at 133.00, 130.00, and 125.00 September, with resistance at 137.00, 140.00, and 142.00 September.
Next page: Coffee, Sugar and Cocoa
General Comments: Futures were higher in follow through buying after the Brazilian government announced its price support measures London was the leader to the upside s differentials held firm on a lack of offer from producers and as a tropical system looked poised to enter the country sometime this week and could potentially cause some damage to crops. Coffee appears to be available in Central America as farmers and mills start to clear inventories before the next harvest. Current crop development is still good this year in most production areas of Latin America and also appears to be mostly good now in Asia after some too dry or too wet weather at times earlier in the year. Central America crop areas remain too dry, but conditions are said to be good overall. Colombia is still reported to have good conditions. Harvest conditions are good in Brazil. Prices for Arabica are in a range.
Overnight News: Certified stocks are lower today and are about 2.765 million bags. The ICO composite price is now 121.36 ct/lb. Brazil should get dry conditions. Temperatures will average near to above normal. Colombia should get scattered showers, and Central America and Mexico should get showers, and rains. Temperatures should average near to above normal.
Chart Trends: Trends in New York are mixed to up with objectives of 126.00 and 131.00 September. Support is at 120.00, 117.00, and 115.00 September, and resistance is at 125.00, 126.00, and 130.00 September. Trends in London are up with objectives of 1980 September. Support is at 1915, 1900, and 1885 September, and resistance is at 2000, 2050, and 2080 September. Trends in Sao Paulo are mixed. Support is at 145.00, 143.00, and 141.00 September, and resistance is at 149.00, 151.00, and 155.00 September.
General Comments: Futures closed higher after UNICA showed less Sugarcane processed in Brazil due to wet and cold weather in harvest areas of the south of the country. The country also sharply reduced Sugar production as ethanol production increased. The fundamentals do not support any major rallies in the market, and not much has changed in Sugar. Many expect production to be higher overall in Brazil due to a record Sugarcane production, and countries like Thailand and India also expect more production this year. Some Sugarcane was damaged in the freezes of a couple of weeks ago, and there is talk that more wet and cool weather is coming. However, most forecasts call for good weather though the weekend and into next week. Less production of Sugar beets is reported from Russia and Ukraine as farmers there elected to plant more grains. Demand for ethanol has been good, but there is still a lot of Sugar and the supply side fundamentals seem to overwhelm any demand side strength over time.
Overnight News: Brazil could see dry weather and moderate temperatures.
Chart Trends: Trends in New York are mixed to up with objectives of 1750, 1770, and 1800 October. Support is at 1670, 1650, and 1635 October, and resistance is at 1710, 1715, and 1735 October. Trends in London are up with objectives of 504.00 and 514.00 October. Support is at 494.00, 491.00, and 484.00 October, and resistance is at 499.00, 503.00, and 508.00 October.
General Comments: Futures closed slightly lower in consolidation trading. Some follow through buying was seen and was tied to ideas that dry weather has returned to West Africa and could hurt production. There are reports of light rains in Ivory Coast, and the weather remains generally good in Africa, although more rain would be very beneficial. Ghana and Ivory Coast are still too dry. Temperatures are moderate. Production ideas are stable, although some ideas are starting to drop again. There is talk the drier weather could delay the harvest and the arrival of beans to ports. Ivory Coast has sold a lot of its new crop Cocoa already so any reduced production would mean less offer at the end of the year when the harvest is most active. Malaysia and Indonesia crops appear to be in good condition and weather is called favorable.
Overnight News: Scattered showers are expected in West Africa. Temperatures will average near to above normal. Malaysia and Indonesia should see scattered showers, but southern áreas could be dry. Temperatures should average above normal. Brazil will get mostly dry conditions and warm temperatures. ICE certified stocks are sharply higher today at 4.834 million bags.
Chart Trends: Trends in New York are mixed to up with no objectives. Support is at 2390, 2370, and 2350 September, with resistance at 2500, 2515, and 2525 September. Trends in London are mixed to up with objectives of 1690 September. Support is at 1625, 1600, and 1580 September, with resistance at 1670, 1685, and 1705 September.