Cotton futures are posting gains of 150 to 185 points at midday on Monday. President Trump has threatened an additional 50% tariff on Chinese goods if China does not withdraw its retaliatory 34% tariff by Tuesday, April 9. Managed money reduced its net short position in cotton futures and options by 7,176 contracts to 66,634 contracts as of April 1, according to Friday's CFTC Commitment of Traders report. The Cotlook A Index fell 290 points on Friday to 76.70 cents per pound, while ICE certified cotton stocks remained at 14,488 bales. The USDA's Adjusted World Price rose 158 points last week to 55.22 cents per pound.
Threatened additional 50% tariff on Chinese goods escalates trade tensions, supporting cotton futures.
