MW: Cotton crops may be spared from the worst of Irene
Cotton futures are trading higher Friday on the Chicago Board of Trade as Hurricane Irene approaches the U.S. East Coast, but the crops in the region are likely to be spared the worst of the storm’s wrath.
“No doubt, there may be some short covering before the weekend,” said Mike Stevens, a Louisiana-based cotton analyst.
However, “the crops in Virginia, as well as North and South Carolina, are in fine shape,” he said, and North Carolina is projected to have one of their best crops in years.
The cotton crops along the Eastern Coast are no more than 15%-20% open, Stevens said, so damage should be “minimal” and “as long as Irene stays off the coast, the cotton areas will be on the ‘dry’ side.”
But should Irene decide to come in between Charleston and Wilmington, “it could be a serious threat,” he said.
Current forecasts have Irene striking Cape Hatteras Saturday morning before heading north along the east coast towards New York.
