ICE cotton futures edged higher on Friday on investor buying after slipping and the natural fiber recorded its best week since mid-November. "This morning, it seemed that the slight adverse movement in the fundamentals was causing the funds to sell some of their position, but other investors moved in to buy the dip," said Gabriel Crivorot, analyst at Societe Generale in New York. The March cotton contract on ICE Futures US has risen about 4.7 percent this week, the biggest climb since the week e
ICE cotton futures jumped over 3 percent on Wednesday and hit a near five-month high on expectations of improvement in demand for the natural fibre and on an easing dollar. The March cotton contract on ICE Futures US touched a session high of 74.23 cents per lb, a price not seen since August 9. It closed with the biggest one-day percentage gain for the commodity since September 1.
"The view for global demand has improved a lot. People are also seeing a higher than expected demand from China,"
ICE cotton futures jumped over 3 percent on Wednesday to hit a near five-month high, amid a weaker dollar. The March cotton contract on ICE Futures US touched a session high of 74.23 cents per lb, a peak since August 9, 2016. The dollar fell against the euro and yen on Wednesday, backing off a 14-year high against a basket of currencies with investors cautious about increasing bets on the greenback without fresh clues on the US economy and the timing of interest rate increases.
Source: Reuter
