DTN Morning Cotton Commentary          09/18 07:17

   Cotton "Lacks Brakes" 

   Traders hope for clarity from the CFTC report due at 3:30 p.m. EST. 

Keith Brown
DTN Contributing Cotton Analyst

   Even after collapsing some 1200 points in 12 days, the cotton market is 
unable to seemingly tap "the brakes" this morning. Supposedly, there is a 
massive, long position still held by speculators, who now likely see the 
"technicals" turning against them. Traders hope to get more clarity from the 
afternoon CFTC update. 

   The CFTC will update its closely watched Commitments-of -Traders Report at 
3:30 p.m. EST. Last week's data showed managed money traders were net sellers 
of 7,807 contracts, which reduced their net long carry to 100,170. Their record 
stands at 108,788 contracts. 

   Crude Oil is off some 2%t, as Saudi supplies are helping to ease the 
physical and psychological situation. Nonetheless, new Saudi-Houthi fighting 
continues to risk further widening of the Middle East conflict. 

   October Cotton Contract will enter delivery on September 24th. Its current 
open interest stands at 88 contracts.  

   Next week, China's President Xi will visit Washington. This meeting, 
especially for US Agriculture, has been a longtime coming. It is hoped that 
additional Chinese purchases of US products will result. 

   Close-in support for December Cotton stands at 8150 and 8100 Friday, with 
resistance around 8370 and 8465. This morning's estimated volume is 11,254 
contracts.

   Keith Brown can be reached at commodityconsults@gmail.com or by calling 
(229) 890-7780.




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