Cotton futures ended the Friday trading session on the uptick, climbing after having scraped their lowest price in 27 months the day before, according to Reuters.
What sort of performance the soft commodity will have during sessions next week and thereafter will be outlined by the sovereign debt crisis as the scourge has prompted investors to avoid investments considered more risky. Rather, their interests were oriented toward safe-haven assets amid the challenges that have seen the 17-nation bloc endure threats to its banks, markets and public finance systems.
"Cotton prices have dropped to their lowest level in nearly two years and we believe stronger physical demand will re-enter the market at these levels," Luke Mathews with Commonwealth Bank of Australia told Agrimoney.com.
At 2:32 p.m. on Friday, cotton futures gained 1.75 percent, a 0.0134 cent climb to 77.99 cents per pound.
The value of the U.S. dollar also is a significant factor under consideration for the performance of the soft fiber. The world's reserve currency as of late has been emboldened by troubles to the shared currency.
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