Cotton prices rule at record levels in Pakistan
LAHORE (October 15, 2010) : Cotton prices attained record highs this Thursday, not seen since they reached historic high levels on the seventh of July, 2010 at Rs 7500 per maund (37.32 Kgs) and have now hit the new apogee of Rs 7600 per maund. Shortage of cotton crop in China and Pakistan, restrictions on exports of cotton in India, high global demand for lint and the slithering value of the United States dollar have all bunched together to promote a global bulls market in cotton.
In fact, the sharp rise in the commodity complex around the world, deterioration in the value of the greenback and emergence of currency wars on the global money markets have created a keen appetite on many of the commodity markets to go long on a global scale. Cotton has been a top runner in this game with successful bull moves enabling the bull strategists to manage a virtual stranglehold on the commodity.
Read more at : business recorder
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NY cotton ends at 15-yr high on dlr, Chinese rally.
NEW YORK, Oct 14 (Reuters) - U.S. cotton hit a fresh 15-year high on Thursday and could soon pierce the all-time high set in 1995 on buying spurred by a rally in Chinese cotton prices and the U.S. dollar sinking to a 2010 low, analysts said.
Cotton traded limit-up for the third time in four sessions, with prices rising over 50 percent since late July, making it the best-performing commodity in the CRB index .CRB so far this year.
The key December cotton contract CTZ0 increased the 4-cent daily limit to finish at $1.1487 per lb, up 3.6 percent.
Cotton also got support from the dollar dropping to a low for the year against a basket of currencies, as a weak dollar often spurs buying of commodities, many of which are priced in the U.S. currency. [FRX/]
Read more at : reuturs.com
an interesting article about cotton shortage : Not Now , on 1923. Business & Finance: Cotton Shortage The ravages of the boll weevil and unfavorable weather conditions have combined to produce another "short crop" of cotton for the third successive year. As a result, cotton contracts for future delivery have experienced another sharp rise, even passing the 35¢ level. According to the Government's latest forecast, this year's crop should amount to about 10,248,000 bales, which, with 650,000 linters and a 2,573,000 world carry-over from 1922, gives a total supply this season of 13,471,000 bales. The world's estimated consumption this year is 12,000,000 bales, which leaves a world's carry-over of only 1,471,000 bales. This carry-over is critically small— more than a million bales less than that for 1922. Read more: time.com **** Textiles has not been out of the "black list" of banking at Indonesia The textile industry is still shunned by banks for lending. This sector is still considered potentially bad loans. Based on the banking survey conducted by Bank Indonesia, banks are still avoiding the sector because the sector is considered still faces intense competition with imported goods. This sector is also still facing weak demand overseas and anticipated increase in electricity tariff (TDL), so the prospects of a fall and potentially bad debts. for complete article : visit : indotextiles.com |
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