Cotton futures in New York fell for the first time in six days

Cotton futures in New York fell for the first time in six days on speculation a rally to a maximum of one month may reduce the demand for fiber and increase the sowing area in the U.S., the largest supplier in the world.

Cotton for March delivery fell as much as 1.9 percent to $ 1.4178 a pound on ICE Futures U.S. New York and was at $ 1.42 at 4:06 pm in Tokyo. The contract touched $ 1.4597 yesterday, the highest since Nov. 10.

"Today's higher prices may reduce purchases of foreign importers and encourage U.S. farmers to increase acreage," said Hiroyuki Kikukawa, general manager of research at IDO Securities Co. "It can be it is selling to take profits as the plight of the power supply can last for a while. "

cotton acreage may increase by at least 10 percent in the southwestern U.S., according to John Robinson, professor and extension economist at Texas A & M University in College Station. Texas is the largest cotton producers.

"The high prices and the impact of entering a dry year, which will reinforce the effect of planting more cotton in Texas," Robinson said yesterday in a conference call organized by Ag Market Network. "We will see the surface of cotton, especially on the mainland, arriving at the place of either sorghum or wheat acres. While it stays dry, it will strengthen. Worth cotton plant under those conditions."

The decrease in inventories

Cotton prices have risen 88 percent this year, heading for the biggest annual gain since 1973. Fiber reached a record $ 1.5195 a pound on November 10 on signs that producers would struggle to meet mounting demand in China, the world's largest consumer.

U.S. stocks for the year to July 31 at a total 1.9 million bales, the lowest level since May 1996 projected, when Our data begin, the Department of Agriculture said that 10 December. That is 14 percent below the estimate of the agency in November.

Deposits inventories monitored by the ICE expanded to 116,695 bales of 13 December, from 114,876 bales the previous day. Stocks have fallen 72 percent this year. A bullet weighs about 480 pounds or 218 kilograms.

Cotton for delivery in September fell 1.3 percent to settle at 27.660 yuan ($ 4.154) per tonne in the Zhengzhou Commodity Exchange. Demand in China is expected to outstrip supply by 17 million bales in the year ended July 31, according to the USDA.