Cotton Withers Away

The cotton market posted a new life-of-contract low settlement Monday as key chart support was violated. Given its trend was already decisively negative, with the speculators’ funds in sync, there was no one or nothing to shore the line.

USDA issued its weekly Crop Progress report Monday and it showed the overall condition of the 2025 crop was stable at 47% good to excellent. Although it was unchanged from the previous week, the rating was up from 31% a year ago and above the 5-year average for this date at 40%. The report also showed 16% of the U.S. cotton crop had been harvested as of Sept. 28, which was down from 19% a year ago, but right in line with the 5-year average for this date.

Tuesday at noon EDT, USDA will issue its quarterly grain stocks data. There will be no cotton stats involved, but nonetheless the data is important to cotton marketing decisions.

There is less than 24 hours until a possible shutdown of the U.S. government occurs. The bitter stalemate between Republicans and Democrats largely centers on billions of dollars to for the Affordable Care Act.

Daily chart support for December cotton stands at 65.00 cents and 64.10 cents, with resistance at 65.00 cents and 64.10 cents. Tuesday morning’s estimated volume is 12,070 contracts.

Keith Brown can be reached at commodityconsults@gmail.comor by calling (229) 890-7780.