General Comments: Futures closed lower as weather in Florida remains very good for the citrus crops. Florida remains warm and dry. There does not seem to be anything going on with the weather systems to expect any dangers to the crop for the short term. The greening disease has affected crops in a big way and could cause reduced production for the next few years. Growing and harvest conditions in the state of Florida remain mostly good. It has turned mostly dry, which is seasonal, and reports indicate that crops are in good condition. Irrigation water is available. Harvest is very active, but fruit sizes are reported to be small so far this year. Brazil is seeing near normal temperatures and scattered showers.
Overnight News: Florida weather forecasts call for mostly dry conditions. Temperatures will average mostly above normal.
Chart Trends: Trends in FCOJ are mixed. Support is at 141.00, 136.50, and 133.50 January, with resistance at 146.00, 148.00, and 149.00 January.
General Comments: Futures closed a little higher despite some disappointing economic data from China. The purchasing managers’ index was lower than expected. Plus, the news wires released some data showing the big jump in Cotton stocks held by the government. It showed that the government owns huge supplies at this time and has little prospect to lower the stocks without pressuring the market. Traders were anticipating some beneficial economic news from China and Europe and the US to keep short term demand ideas intact. The US news was positive. Demand has in fact turned softer lately as export sales have decreased, but the better economic news keeps hopes of a rebound alive. Brazil conditions are reported to be very good in Bahia. Charts show that the market completed a major low last week.
Overnight News: The Delta and Southeast should see dry conditions, but a few showers are possible about Friday. Temperatures will average near to above normal. Texas will see dry conditions, but a few showers are possible starting Friday. Temperatures will average above normal. The USDA spot price is 80.09 ct/lb. today. ICE said that certified Cotton stocks are now 0.048 million bales, from 0.057 million yesterday
Chart Trends: Trends in Cotton are mixed to up with objectives of 86.90, 89.40, and 96.10 March. Support is at 82.30, 81.80, and 80.95 March, with resistance of 83.60, 84.00, and 84.40 March.