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ICE Cotton Futures Hit A 150 Year High Of &Nbsp; Boosted By Speculative Buying.

2011/2/11 14:18:00 102

According to New York February 10th, ICE

cotton

(34070420.00,1.25%) futures hit a new high after the US Civil War on Thursday. Funds and cotton mills continue to catch up because of tight global supply.

Analysts say that by a large number of investment funds and speculative buying boost, the next few days will hit the $2 mark per pound.

Cotton is the best R/J commodity index. In 2010 cotton performance was also very eye-catching, up 90%.

Index ICE3 cotton contract rose 7 cents, or daily limit, at $1.8758 a pound, the highest price since the American Civil War.

Preliminary figures show that the total turnover is about 37600 hands, which is about 2/3 higher than that of the 30 day.

Nick Gentile, an analyst at Atlantic Capital Advisors, said, "the rise in cotton futures seems endless.

Because demand growth is faster than supply, it's as simple as that. "

dealer

It said cotton prices have risen more than 1/3 since mid January because they are eager to lock in supplies because of the purchase of overseas cotton mills.

The supply of cotton in the US is tight enough to provide support for the market.

The United States is the largest in the world.

Cotton export

Country.

Market participants expect us to forecast more than 95% of the 18 million 320 thousand package output this year.

Mike Stevens, independent cotton analyst, said China's drought speech and India cotton export opportunities "gradually disappeared" to help the market.

"In the current situation, it is only when we break through the $2, not the problem."

Since this week, cotton futures have been trading on average every day, and on Wednesday they broke through the intraday high of $1.8229 in February 2nd. Since Monday, the market has risen 11.7%, the biggest four day gain since last December.

Market participants will be concerned about the report of the US Department of agriculture's report on planting intentions released in March 31st to see whether the rise in cotton prices will stimulate farmers to sow more cotton.

The National Cotton Association said the U.S. cotton planting area will reach 12 million 500 thousand acres in 2011, but most analysts think the data will be higher, as cotton prices begin to rise since the middle of this month.

This month's Beltwide Cotton Conference survey shows that in 2011, the sown area of US cotton will reach 1248-1253 acres, a five year high, and an increase of 15% over the 11 million 40 thousand acre last year.