Cotton futures tumble over 5pc

ICE cotton futures plunged as much as 5.2% to an 11-year low on Wednesday, as sentiments soured on dire predictions for the US death toll from the coronavirus and as risks from the pandemic showed little sign of easing.
Cotton contract for May was down 2.41 cent, or 4.7%, to 48.72 cents per lb by 1:19 p.m. EDT (1719 GMT).
The contract fell to 48.45 cents per lb earlier in the session, a level last seen in April 2009.
"The grim outlook by the administration in regards to potential deaths in the US is weighing on markets," said Peter Egli, director of risk management at British merchant Plexus Cotton.
"The outlook for cotton is dismal due to supply chain disruptions and demand destruction, with no visibility as to when it might end... It will be a long road to recovery."
President Donald Trump warned Americans on Tuesday of a "painful" two weeks ahead in fighting the coronavirus, with a mounting US death toll that could stretch into the hundreds of thousands even with strict social distancing measures.
Meanwhile, data on Wednesday showed new orders for US-made goods plunged to an 11-year low, while private payrolls fell for the first time since 2017, weighing on Wall Street.
"ICE futures should experience resistance near 57-58, 59-60 and then near 65, basis May, over the near- to medium-term," Louis Rose, director of research and analytics at Tennessee-based Rose Commodity Group, said in a note.
"Relatively strong support likely resides near 48-50."
Total futures market volume fell by 8,723 to 29,068 lots. Data showed total open interest gained 5,124 to 199,435 contracts in the previous session.
New York cotton

NEW YORK: The following were the fluctuations observed during the day:

================================================================================
                                  Current Session                      Prior Day
           Open    High     Low    Last    Time    Set     Chg      Vol      Set
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May'20    50.98   51.25   48.45   49.03   13:00     -     -2.10   15265    51.13
                                          Apr 01
Jul'20    50.56   50.90   48.35   48.78   13:00     -     -2.12   11564    50.90
                                          Apr 01
Oct'20    52.99   53.21   52.99   53.21   17:00   53.21    0.14       9    53.07
                                          Apr 01
================================================================================