Cotton and Lumber Futures
It looks like the harvest for December 07 cotton is coming in pretty good, so the price looks like it is limited as far as how high it can go.
But I think the upside for December 2008 is much better, based on the price I would expect further loss in planted area for the next year as some cotton farmers can switch to more profitable crops.
The more news we have about possible decrease in the planted acreage for next year the more support it will provide for the price of cotton.
I am going to roll my December 07 cotton over to December 08 and then just hang on to it for a while.
Lumber
More bad news for the housing market, this means that lumber is going to continue to drop. I was going to buy some more, but now I am going to wait and see how much lower it goes first.
