ABSTRACT
After a 17-month downtrend in cotton prices caused by increased world production, stalled world consumption and building world stocks, cotton futures prices now have recovered around 8 cents from their low point at the end of October. For the 1993/94 season and beyond, some key factors will include China's disproportionately large share of world stocks, probable production declines in China and the former Soviet Union, and prospects for Mexico as well as Central and South America to become net importers of cotton. These influences should aid an upward price trend that will bring cotton futures back in the traditional trading range between 60 and 80 cents.
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