In the week ended Sept. 15, purchases from overseas buyers resulted in U.S. net cotton exports of 65,900 bales, including 15,400 to China, the U.S. Department of Agriculture said yesterday. The U.S. is the world’s largest shipper. The commodity still declined 8.4 percent this week and has plunged 54 percent since reaching a record $2.197 a pound on March 7.
“There’s been actual physical demand,” Chris Kramedjian, a senior risk-management consultant at INTL FCStone in Nashville, Tennessee, said in a telephone interview. “We are getting to a price that works for spinning mills. There is talk of buying from China and other Asian markets.”
Cotton futures for December delivery rose 1.95 cents, or 2 percent, to settle at $1.0124 at 2:40 p.m. on ICE Futures U.S. in New York. That’s the biggest gain since Sept. 8.
Orange-juice futures for November delivery dropped 3.4 cents, or 2.1 percent, to $1.5525 a pound on ICE. Earlier, the price touched $1.549, the lowest for a most-active contract since Aug. 11. The commodity dropped 4.6 percent this week and is down 1.2 percent in the past year.