COTTON
General Comments: Futures were a little lower yesterday in most months, but higher in December as deliveries will soon get underway. There are indications that commercials are buying December and plan to take delivery. The most important feature of the trade was once again in the spreads, where December continued to trade at a premium to March despite the index fund roll due to the commercial buying. The situation in Europe still has traders nervous, and any loss of demand will hurt futures and kept traders from doing much overall. The USDA reports issued last week have been supportive to futures as well. The harvest is still moving forward in Texas and weather there remains mostly dry. Chart trends are mixed.
Overnight News: The Delta and Southeast will get showers today and Wednesday, then dry conditions. Temperatures will average near to below normal. Texas will be mostly dry. Temperatures will average near to below normal, then above normal on Friday. The USDA average spot price is now 98.14 ct/lb. ICE said that certified Cotton stocks are now 0.048 million bales, from 0.045 million yesterday. USDA said that Cotton is now 79% harvested, well ahead of the five year pace of 64% harvested
Chart Trends: Trends in Cotton are mixed. Support is at 98.00, 95.00, and 94.00 December, with resistance of 103.00, 105.00, and 107.00 December.

FCOJ
General Comments: Futures closed a little lower again yesterday after a quiet session. Charts show that trends are trying to turn down after failing at resistance areas a couple of weeks ago. The tropics are mostly quiet now, and the hurricane season is coming to a close. But, there is still potential for a storm to develop based on climatology, and there have been some storms seen into December. Florida weather remains a negative for prices for now. Florida has had good weather so far this year with showers most days and warm temperatures. This week and this weekend should see mostly dry weather. Harvest is continuing. Trends are mixed on the charts, but the market acts weak. Brazil is seeing moderate temperatures. Dry weather is seen through this week for Brazil after some beneficial rains today.
Overnight News: Florida weather forecasts call for mostly dry weather, although showers are possible on Thursday. Temperatures will average near to above normal. ICE said that 0 contracts were delivered today and that total deliveries for the month are 3 contracts.
Chart Trends: Trends in FCOJ are mixed. Support is at 167.00, 166.00, and 163.00 January, with resistance at 170.00, 173.00, and 175.00 January.

DJ ICE FCOJ Speculation And Hedging Report – Nov 14
For Nov 11 long and short positions in contracts.
SPECULATION LONG ACCTS PCT SHORT ACCTS PCT
Total 15,111 399 57.1 5,410 134 20.4
HEDGING
Total 11,345 108 42.9 21,046 67 79.6
GRAND TOTAL: 26,456 507 100.0 26,456 201 100.0

COFFEE
General Comments: Futures were lower yesterday as traders reacted to a stronger US Dollar and all of the problems in Europe and the world and also the problems at MF Global. There was little interest seen from origin or from industry. There was no real news for Coffee. Loss reports from Central America are coming in, and lower production is expected from Colombia as well. The potential for big crops in Vietnam and Brazil later on keep many traders bearish about prices next year. Scattered showers are forecast for Brazil this week, but it remains drier than normal and dryness now would hurt flowering and cherry formation. Drier weather is also reported in Vietnam, which is good for harvest. Futures still have to deal with a tight supply situation for the short term, and the possibility of less than expected Arabica Coffee produced over the next year. Differentials in all of Latin America remain strong. Central America and Colombia are offering to sell new crop with high differentials.
Overnight News: Certified stocks are higher today and are about 1.376 million bags. The ICO composite price is now 194.33 ct/lb. Brazil should see scattered showers today and tomorrow, then mostly dry conditions. Temperatures will average near to below normal this week and near to above normal this weekend.
Chart Trends: Trends in New York are mixed. Support is at 228.00, 225.00, and 220.00 December, and resistance is at 237.00, 238.00, and 241.00 December. Trends in London are mixed. Support is at 1840, 1800, and 1790 January, and resistance is at 1900, 1915, and 1950 January. Trends in Sao Paulo are mixed. Support is at 318.00, 316.00, and 313.00 December, and resistance is at 326.00, 333.00, and 335.00 December.

SUGAR
General Comments: Futures closed lower again yesterday on ideas that good weather in Russia was helping yields and harvest and on some ideas that India could allow another 1.0 million tons of exports in government meetings this week. Reports of some rains that will benefit Sugarcane development in Brazil were also negative. The European crisis and the problems at MF Global continued to reduce trading interest overall. Speculators appeared to be on both sides of the market, and commercials were said to be quiet. Supply side fundamentals for Sugar remain weak, and end users do not seem interested in buying right now. India is still offering and expects to sell more as soon as later this week as the country tries to work off surplus production and stocks. There were some flooding rains in Thailand in recent weeks. Reports are that losses are minor and most of the problems will be due to delayed crushing and deliveries rather than to crop losses. Bears keep pointing to increased supplies around the world as reasons to keep the selling pressure on. Northern hemisphere crops are coming now, and Europe and Russia are said to have very good crops this year.
Overnight News: Mostly dry conditions or light showers are expected in Brazil after beneficial precipitation today and tomorrow. Temperatures should be near to below normal. Egypt will tender to buy up to 100,000 tons of Raw Sugar for import in the first quarter of next year.
Chart Trends: Trends in New York are down with objectives of 2450 and 2370 March. Support is at 2440, 2400, and 2390 March, and resistance is at 2540, 2610, and 2630 March. Trends in London are down with objectives of 635.00 and 619.00 March. Support is at 636.00, 625.00, and 623.00 March, and resistance is at 643.00, 646.00, and 649.00 March.

COCOA
General Comments: Futures were lower again in New York and in London yesterday on what appeared to be speculative long liquidation tied to the strong rally in the US Dollar and the meltdown fears about Europe. Some commercial selling tied to harvest pressure was also seen. Talk of oversupply in the market for Cocoa still are keeping prices down overall There is still no real reason to buy for now, but next year could be different as many analysts say that crop production potential in western Africa has been hurt by some poor weather seen in the last month. However, current supplies are ample and should help cover any short production potential for next year. Weather is called good for production in West Africa now.
Overnight News: Widely scattered showers are expected in West Africa. Temperatures will average near normal. ICE said that Cocoa stocks were lower today and now 3.588 million bags.
Chart Trends: Trends in New York are down with objectives of 2380 December. Support is at 2410, 2380, and 2350 December, with resistance at 2520, 2540, and 2610 December. Trends in London are mixed to down with objectives of 1480 December. Support is at 1560, 1540, and 1510 December, with resistance at 1600, 1630, and 1650 December.

Questions Ask Jack Scoville today at 312-264-4322