Monday, February 14, 2011
Posted
8:57 AM
by Gene
Cotton for March delivery rose 3.9% to settle at $1.8758 a pound on ICE Futures U.S., just shy of the $1.89 record hit during the Civil War. Prices surged the exchange-permitted daily limit of seven cents a pound.
The run-up was largely attributed to speculative buying, not the textile industry.
"I cannot say this clearly enough: this is not mill buying," said Sharon Johnson, a senior cotton analyst at Penson Futures. "Mills cannot buy at these prices. The vast majority has already done what they need to do."REMEMBER, John Stossel, the speculator is YOUR FRIEND!
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