Focus On Extended Trading: 6.13ICE Cotton Futures Trend

According to June 13th, ICE

Most of the market went up on Wednesday. The market ignored the USDA's supply and demand report on the previous day, turning its attention to the extension trading, which suppressed the spot July contract but supported the December contract.

Today, there are nearly 11000 hands to extend the July contract to December.

"This does not include pactions that have already been completed," Jobe Moss of MCM Inc of Texas said.

"I think some funds in the past few weeks have completely shorted the July contract and have made many December contracts, but in July last week the contract rebounded far more than the December contract."

ICE most active December

It's 1.57 cents, or 2.28%, at 70.41 cents a pound.

The trading range is 68.70-71.16 cents, which is the highest price in June 8th.

On Wednesday, the contract was trading at 19556 hands.

Spot contracts in July fell 48 cents, or 0.64%, at 75.09 cents a pound.

Today's trading range is 74.25 and 76.35 cents respectively in the range of trading on Tuesday.

The turnover in July was 15,57.

Total cotton

Strong performance, for 38178 hands, compared with the 30 day mean about 26% higher, though not as low as Tuesday's turnover of 46612 hands.

On Tuesday, the open positions were reduced by 4511 to 194240 hands, and about 47763 in July.

The broker said there were about 10873 hand contracts for the -12 July extension.

Wednesday is the last day for the largest index fund to complete the exhibition operation, which boosted volume.

Although there are still about 37000 hands on July contracts, they may still be moving at a less urgent pace.

The July contract will expire in July 9th.

With the first notice of June 25th July coming, some brokers believe that speculators have pushed up the price of the July contract to force those who still hold short positions.