October 1St NYBOT Commented: Cotton Futures Fell To Two Weeks Low.

According to New York October 1st, NYBOT

NYBOT cotton fell 3.8%, or 3.9 cents in December, at 98.02 cents a pound, far below the 15 year high in recent weeks.

At the end of 8, the floods severely damaged crops in Pakistan and China, the main cotton producing countries, and ignited fears of a global shortage of cotton.

Cotton stocks have been in the low position for many years, and the global cotton mills are coping with this situation by buying large quantities of cotton in advance.

Disturbing moves pushed prices up four times to a new high and hit the top price of $1.0519 a pound in September 28th.

Prices are falling at the same speed.

The price of cotton futures hit a limit on Wednesday, as the report shows that the harvest of the world's largest cotton exporter, the United States, is more than average, and the news of India's clear resumption of export dates disappears the worries of a shortage of cotton.

Hackett Financial Advisors fund manager Shawn Hackett said: "the news in Pakistan can only support the market to this level.

The fundamentals are no longer valid.

He added that the focus of the market seems to have shifted to the upcoming harvest.

The debate over whether India should ban grain exports to give priority to the establishment of domestic cotton factories on Thursday is controversial. After that, a ministerial committee announced that exporters could sign up for cotton export on schedule on Friday, and export shipment began in November 1st.

The decision is expected to add 750-800 bales of cotton to tight global supplies.

Cotton Outlook said that on the first day of export registration, the total volume of registration was more than 850000 packages, 374 pounds per pack.

The International Cotton Advisory Committee predicted on Friday that cotton consumption in the 2009-10 year ended Thursday exceeded the output of 13 million bags.

However, the group currently expects cotton supply to exceed 115 million of the world's demand in 2010-11.