Cotton inches up on heavy rains, softer dollar

April 22 (Reuters) - ICE cotton futures settled higher on
Monday as the dollar weakened and tumultuous weather in the U.S.
Southeast restricted progress in plantation of the natural fiber
crop.
* The most-active cotton contract on ICE Futures U.S. July

settled up 0.2 cent, or 0.26 percent, at 78.47 cents per lb.
* It traded within a range of 78.03 and 78.84 cents per lb.
* "Uneven weather and heavy rains in (the) southeast has
been
making it very hard to get any cotton plantation progress in
these areas," said Jack Scoville, vice president at Price
Futures Group in Chicago, adding that a weaker dollar was
supporting prices as well.
* The dollar against a basket of other currencies
dropped
to a 4-day low in the session. A weaker greenback makes
commodities priced in dollars, such as cotton, cheaper for
holders of other currencies.
* "I think there is a chance we can see 80 cents. There has
been
improved expectations that export demand for cotton will
continue," Scoville said.
* Total futures market volume fell by 3,638 to 20,861 lots.
Data
showed total open interest gained 293 to 213,138 contracts in
the previous session.
* Certificated cotton stocks <CERT-COT-STX> deliverable as
of
April 17 totaled 57,655 480-lb bales, up from 55,517 in the
previous session.


(Reporting by Karthika Suresh Namboothiri in Bengaluru; Editing
by Sandra Maler)


2019-04-22 21:22:03

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