COTTON
General Comments: Cotton was higher yesterday despite strength in the US Dollar and weakness in Crude Oil. There are some ideas that demand could soon increase as China could start to open its economy in the next couple of months.. Demand has not been real strong so far this year and the weekly export sales report was bad again yesterday. Demand has not improved with the reduction in prices and a lower US Dollar to date. China had been making some initial moves to open its economy and country again but many cities remain in lockdown due to an increase in Covid infections. China saw anti government protests over the weekend due to its polices an the economic turmoil they have created. The protests were sparked by the deaths of several apartment dwellers in a city that protesters said was locked and on lockdown status. There are reports that China will end its zero tolerance Covid policies and allow for greater freedom by citizens. Production in the US is very short. The trade is still worried about demand moving forward due to recession fears and Chinese lockdowns but is also worried about total US production potential. It is possible that the continued Chinese lockdowns will continue to hurt demand for imported Cotton for that country and that a weaker economy will hurt demand from the rest of the world.
Overnight News: The Delta will get isolated to scattered showers and above normal temperatures. The Southeast will see mostly dry conditions and above normal temperatures. Texas will have mostly dry conditions and above normal temperatures. The USDA average price is now 82.86 ct/lb. ICE said that certified stocks are now 8,901 bales, from 8,901 bales yesterday. ICE NY said that 0 notices were posted for delivery against December futures and that total deliveries for the month are now 5 contracts.
Chart Trends: Trends in Cotton are mixed. Support is at 82.60, 77.50, and 77.30 March, with resistance of 86.00, 87.10 and 89.90 March.

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FCOJ
General Comments: FCOJ was higher yesterday and held the trading range. The market looks like it made a short term low last week but might not have enough news to push prices much higher at this time. Historically low estimates of production due in part to the hurricanes and in part to the greening disease has hurt production remain in place but are apparently part of the price structure now. The weather remains generally good for production around the world for the next crop but not for production areas in Florida that have been impacted in a big way by the two storms. Brazil has some rain and conditions are rated good. Mostly dry conditions are in the forecast for the coming days. Florida Citrus said that FCOJ inventories re now 40.3% below last year.
Overnight News: Florida should get mostly dry conditions. Temperatures will average above normal. Brazil should get scattered showers and near to above normal temperatures.
Chart Trends: Trends in FCOJ are mixed. Support is at 2-2.00, 198.00, and 191.00 January, with resistance at 207.00, 209.00, and 212.00 January.

COFFEE
General Comments: New York and London closed a little higher yesterday on ideas of reduced Brazil production. There are ideas that production potential for Brazil had been overrated and reports of too much rain in Vietnam affecting the harvest progress. The weather in Brazil is currently very good for production potential but worse conditions seen earlier in the growing cycle hurt the overall production prospects as did bad weather last year. Weather conditions are good in Brazil and the rest of Latin America and supplies available to the market should keep increasing and the market is looking forward to the increased supplies. Ideas are that the market will have more than enough Coffee when the next harvest comes in a few months. Ideas of a significant recovery in world production next year remains the main cause for any selling More showers and rains are in the forecast in Brazil Coffee areas for this week. The rest of South America and Central America are reported to be in good condition. Vietnam has scattered showers in Coffee areas. Indonesia Sumatra Coffee exports were 32,290 tons in October, up 15.7% from last month but down almost 40% from September.
Overnight News: ICE certified stocks are higher today at 0.637 million bags. The ICO daily average price is now 154.66 ct/lb. Brazil will get scattered showers with near normal temperatures. Central America will get scattered showers. Vietnam will see scattered showers. ICE said that 35 contracts were tendered for delivery against December futures and that total deliveries for the month are now 484 contracts.
Chart Trends: Trends in New York are mixed. Support is at 159.00, 154.00, and 151.00 March, and resistance is at 167.00, 171.00 and 174.00 March. Trends in London are mixed to up with objectives of 2030 and 2160 January. Support is at 1870, 1840, and 1820 January, and resistance is at 1930, 1950, and 1970 January.

SUGAR
General Comments: New York and London closed a little higher yesterday as traders grew more concerned about ongoing rains in Brazil production areas. The harvest has also been delayed in Thailand. Traders were disappointed with the EPA decision on bio fuels mandates that will increase the production of biofuels but not as much as traders had expected. The weather in Brazil remains good for the next crop but bad for harvest and loading at ports as it is still raining in production areas. Some flooding rains have been reported in some areas and some roads to the ports have been blocked by landslides caused by the rains. More ideas that supplies of White Sugar are increasing for the market has weighed on prices for the London market, but could be part of the price structure now. World Sugar market is expected to be in a big surplus production next year. The supply is starting to increase. Brazil Sugar offers are increasing on ideas of unprofitable Ethanol prices coming to the country and reports of increased use of Corn for Ethanol production Indian exporters continue selling into the world market but might have less that 1.0 million tons available for export under the current quota. The erratic weather in India seen earlier in the year could have cut production and total production could be 7% less than originally expected.
Overnight News: Brazil will get scattered showers. Temperatures should average near normal. India will get mostly dry conditions and near to above normal temperatures.
Chart Trends: Trends in New York are mixed. Support is at 1940, 1910, and 1890 March and resistance is at 1990, 2010, and 2040 March. Trends in London are mixed. Support is at 531.00, 522.00, and 520.00 March and resistance is at 545.00, 550.00, and 553.00 March.

COCOA
General Comments: New York and London were lower yesterday on increased arrivals in Ivory Coast and on ideas of less demand from Callebrut who noted that buyers of bulk Cocoa were delaying purchases to work off built up inventories on hand. Trends are up in New York and mixed to down in London on the daily charts, but both show the chance to work higher in the next few weeks. Ivory Coast arrivals appear to have improved lately with the recent rally in futures prices. Ivory coast arrivals are now 718,000 tons, up 1.1% from last year. Ivory Coast arrivals at ports are now 838,000 tons, up 6% from last year. Good production is reported and traders are worried about the world economy moving forward and how that could affect demand. Supplies of Cocoa are as large as they will be now for the rest of the marketing year. Reports of scattered showers along with very good soil moisture from showers keep big production ideas alive in Ivory Coast. The weather is good in Southeast Asia.
Overnight News: Isolated showers are forecast for West Africa. Temperatures will be near normal. Malaysia and Indonesia should see scattered showers. Temperatures should average above normal. Brazil will get scattered showers and near to above normal temperatures. ICE certified stocks are lower today at 5.487 million bags. ICE NY said that 109 contracts were posted for delivery against December futures and that total deliveries for the month are now 1,854 contracts.
Chart Trends: Trends in New York are mixed. Support is at 2460, 2440, and 2420 March, with resistance at 2540, 2560, and 2580 March. Trends in London are mixed to down with objectives of 1940 and 1910 March. Support is at 1930, 1880, and 1860 March, with resistance at 1980, 2000, and 220 March.

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