COTTON
General Comments: Futures were much higher again yesterday on ides of strong demand. The weekly charts imply that significantly higher prices are coming soon. Demand or US Cotton remains very strong and that is good news for sellers as the strong demand implies strong prices should continue. The demand is expected to be strong from Asian countries as world economies recover from Covid lockdowns. Analysts say the demand is still very strong and likely to hold at high levels for the future. However, the expansion of the Delta variant has given pause to the better demand ideas due to fears of economies here and around the world starting to partially lock down again. Those fears were magnified yesterday by the debt crisis here and the Evergrande crisis in China. Production ideas are being impacted in just about all areas due to the weather extremes. It has been very hot in parts of Texas and the Delta and Southeast have had drenching rains at various times in the last couple of months. Bolls are opening now so any new system to git the Southeast would have a much better chance to damage the fiber. Good US production totals are expected despite the extremes.
Overnight News: The Delta and Southeast will get mostly dry conditions and temperatures trending from below normal to above normal. Texas will have mostly dry conditions and near to above normal temperatures. The USDA average price is now 94.91 ct/lb. ICE said that certified stocks are now 57,659 bales, from 57,659 bales yesterday. ICE said that 0 notices were posted for delivery against October contracts and that total deliveries for the month are now 115 contracts.
Chart Trends: Trends in Cotton are mixed. Support is at 9670, 9600, and 9500 December, with resistance of 9980, 10040 and 10080 December.

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FCOJ
General Comments: FCOJ closed mostly a little higher yesterday but November closed a little lower. Weather concerns, especially for Brazil but also for Florida and Mexico, remained important. A freeze hit Sao Paulo state several weeks ago and reports of significant losses are being heard. Weather conditions in Florida are rated mostly good for the crops with scattered showers and near normal temperatures. Mexican crop conditions in central and southern areas are called good with rains, but earlier dry weather might have hurt production. Northeastern Mexico areas are too dry, but the rest of northern and western Mexico are rated in good condition. Florida is in the middle of the hurricane season but the storms have missed the state so far and crop conditions are good.
Overnight News: Florida should get scattered showers. Temperatures will average near normal. Brazil should get mostly dry conditions and above normal temperatures. ICE said that 0 notices were posted for delivery against September contracts and that total deliveries for the month are now 0 contracts.
Chart Trends: Trends in FCOJ are mixed. Support is at 134.00, 130.00, and 128.00 November, with resistance at 142.00, 146.00, and 149.00 November.

COFFEE
General Comments: New York and London closed a little lower in correction trading. It remains a bull market on a lack of supplies available from origin. New York has found support from the lack of Coffee available in Brazil after extreme weather events. London is having trouble sourcing Coffee from Vietnam due to a shortage of containers to carry the Coffee out of the country and as the country suffers from a resurgence of the Covid epidemic. Prices in New York have been firm as the current Brazil harvest starts to wind down. Dry weather and warm temperatures are seen now in Brazil for the last of the harvest. Scattered showers are now in the forecast for Southeast Asia. Good conditions are reported in northern South America and good conditions reported in Central America. Conditions are reported to be generally good in parts of Africa.
Overnight News: ICE certified stocks are lower today at 2.121 million bags. The ICO daily average price is now 174.97 ct/lb. Brazil will get mostly dry conditions or isolated showers with near to above normal temperatures. Central America will get scattered showers. Vietnam will see scattered showers.
Chart Trends: Trends in New York are up with objectives of 195.00 and 203.00 December. Support is at 190.00, 188.00, and 185.00 December, and resistance is at 194.00, 201.00 and 203.00 December. Trends in London are mixed to up with objectives of 2250 November. Support is at 2100, 2060, and 2030 November, and resistance is at 2180, 2210, and 2240 November.

SUGAR
General Comments: New York and London were both lower yesterday and the charts imply that the current rally attempt might be running out of steam. The reduced production potential from Brazil is still impacting the market. India is not offering as world prices are well below domestic prices. The ISO has noted that this will be the second year of deficit production for the world, in large part because of the Brazil freeze that cut production. Consumption of Sugar remains on the light side. Fears that Covid is coming back and could reduce economic activity and demand are still around. Thailand is expecting improved production.
Overnight News: Brazil will get mostly dry conditions or isolated showers. Temperatures should average near to above normal. USDA said that Sugarbeets were 14% harvested, from 12% last week, 20% last year, and 17% average.
Chart Trends: Trends in New York are mixed. Support is at 1950, 1930, and 1920 March, and resistance is at 2010, 2030, and 2050 March. Trends in London are mixed. Support is at 496.00, 485.00, and 481.00 December, and resistance is at 509.00, 515.00, and 520.00 December.

DJ Brazil Center-South Sugar Crush Down 14.1% at 38.4M Tons in 1H Sept.
By Jeffrey T. Lewis
SAO PAULO–Brazilian sugar mills in the country’s center-south region crushed less cane in the first half of September compared with a year earlier, according to industry group Unica.
Center-south mills crushed 38.4 million metric tons of cane in the period, a decrease of 14.1% from the same period a year earlier. They produced 2.5 million tons of sugar, down 20.5%, and made 2.1 billion liters of ethanol, a decline of 11.2%.
The production mix for the first half of September was 44.9% sugar to 55.1% ethanol, compared with 47.3% sugar and 52.7% ethanol in the same period a year ago.
A drought in sugar-producing parts of the center-south, along with frosts in July and August, have reduced the amount of sugar contained in the cane, reducing production of the sweetener and of ethanol this year.
In the season from April 1 through Sept. 15, mills in the region crushed 431 million tons of cane, down 6.6% from the same period a year earlier. Sugar production fell 8.1% to 26.8 million tons, and ethanol output fell 3% to 20.8 billion liters.
The production mix for the season through Sept. 15 was 46.15% sugar to 53.85% ethanol, compared with 47% sugar and 53% ethanol in the same period a year ago.

COCOA
General Comments: New York and London closed lower yesterday. There are increasing concerns that Ghana will have less production this year. Ghana is the worlds second largest producer behind Ivory Coast. It signed a deal to borrow money for crop financing and export financing for the year. Ivory Coast has stopped selling for the next crop on fears of less supplies. World economies are starting to reopen after Covid and the open economies are giving demand the boost. The weather has had below normal rains in West Africa and crop conditions are rated good for now but there is concern about the lack of rain. Drier weather will be beneficial for the harvest which will be underway soon. Some are forecasting less production in the coming year. Ivory Coast sources told wire services that the country has sold between 1.64 million and 1.66 million tons of Cocoa so far this season. This is considered a very big amount and there are concerns about Cocoa availability at origin moving forward. Cocoa production in Ivory Coast is expected to drop by up to 11% in the 2021/2022 season that starts on Oct. 1 from the previous year.
Overnight News: Isolated to scattered showers are forecast for West Africa. Temperatures will be above normal. Malaysia and Indonesia should see showers. Temperatures should average above normal. Brazil will get mostly dry conditions and near to above normal temperatures. ICE certified stocks are lower today at 5.483 million bags.
Chart Trends: Trends in New York are mixed. Support is at 2540, 2520, and 2470 December, with resistance at 2580, 2620, and 2660 December. Trends in London are down with objectives of 1730 December. Support is at 1740, 1710, and 1700 December, with resistance at 1800, 1820, and 1840 December.