United States, Market Calm Around New Year, Delta Region Still Dry

From December 22, 2023 to January 4, 2024, the average standard grade spot price in the seven major domestic markets in the United States was 76.55 cents per pound, an increase of 0.25 cents per pound from the previous week and a decrease of 4.80 cents per pound from the same period last year. The seven major spot markets in the United States have sold 49780 packages, with a total of 467488 packages sold in 2023/24.

The spot price of upland cotton in the United States remained stable after the rise. The foreign inquiry in Texas was light, and the demand in China, South Korea, Taiwan, China and Vietnam was the best. The foreign inquiry in the western desert region was general, and the foreign inquiry was general. The best demand was for high-grade cotton with color grade of 31 and above, leaf grade of 3 and above, cashmere length of 36 and above, and the foreign inquiry in Saint Joaquin region was light, The best demand is for high-grade cotton with a color grade of 21 or above, a leaf shavings grade of 2 or above, and a velvet length of 37 or above. The price of Pima cotton is stable, and foreign inquiries are light. The demand is for small batch immediate shipment.

That week, domestic textile factories in the United States inquired about the shipment of grade 4 cotton from April to July, and most factories replenished their raw cotton inventory until January to March. They were cautious about procurement, and some factories continued to lower their operating rates to control yarn inventory. The export of American cotton is light or ordinary. Indonesian factories have inquired about the recent shipment of Grade 2 green card cotton, and Taiwan, China has inquired about the spot shipment of Grade 4 cotton.

There is widespread rainfall in the southeastern and southern United States, with rainfall ranging from 25 to 50 millimeters. Harvesting and field operations are delayed in areas with high rainfall. Intermittent showers are expected in the northern and southeastern regions, and processing work is coming to an end. Tennessee in the Delta region is still dry and continues to be in a moderate to severe drought state. Due to low cotton prices, cotton farmers have not yet made a decision to grow cotton. Most areas in the southern part of the Delta region have completed preparation for cultivation, and cotton farmers are tracking changes in crop prices. Experts predict that the area in each region will remain stable or decrease by 10%, and the drought situation has not improved. Cotton fields are still in a moderate to severe drought state.

There is light rain in the Rio Grande River basin and coastal areas of Texas, while there is continuous and thorough rainfall in the eastern region. There will be more rainfall in the near future, and some cotton farmers in the southern region are actively ordering cotton seeds before the New Year, which has caused delays in crop preparation. There is cold air and rainfall in western Texas, and the ginning work is basically over. Some areas in the hills are still undergoing final harvest. Kansas harvest work is coming to an end, with some areas experiencing heavy rain and possible snow in the near future. Oklahoma harvest and processing are coming to an end.

There may be rain in the western desert area in the near future, and the ginning work is proceeding smoothly. Cotton farmers are considering spring sowing intentions. There is rain in the St. John’s area, and the snow thickness on snow capped mountains is 33% of the normal level. California’s reservoirs have sufficient water storage, and cotton farmers are considering spring planting intentions. This year’s planting intentions have increased. The Pima cotton area has scattered rainfall, with more snowfall on the snow capped mountains. The California region has sufficient water storage, and there will be more rainfall in the near future.

Post time: Jan-29-2024