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Cotton futures fell on Tuesday to touch their lowest in a week on liquidation by speculators as good harvesting conditions prevailed in the United States. On Monday, the first month December contract on ICE Futures registered the biggest intraday percentage loss in seven weeks as index funds shifted long positions forward and as the US dollar firmed.
"Speculators have to get on the move at some point, they've got a very large long position ... and not a lot of buyers in there," said Jordan Lea, chairman and co-owner of Eastern Trading in Greenville, South Carolina. The December cotton contract on ICE Futures US settled down 0.66 cent, or 0.96 percent, at 68.2 cents per lb. It traded in a range of 68.1, the lowest since October 25, and 68.92 cents a lb.
Total futures market volume fell by 798 to 30,836 lots. Data showed total open interest fell 1,318 to 260,741 contracts in the previous session. CBOT January soybeans were down 18-1/2 cents at $9.93-1/4 per bushel. December corn was down 6 cents at $3.48-3/4 a bushel.

Copyright Reuters, 2016

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