Orange-juice futures fell, capping the longest slump since July, as Florida weather concerns ease. Cotton also dropped.
There are no weather threats in the Atlantic that could hurt crops in Florida next week, the world’s second-biggest citrus producer, Kyle Tapley, a meteorologist with MDA Information Systems LLC said in an e-mail from Gaithersburg, Maryland. The hurricane season runs through Nov. 30, with activity typically peaking this month, according to MDA.
“We are starting to see the hurricane premium come out of the market,” Jimmy Tintle, the chief executive officer at GreenKey Alternative Asset Services in Longwood, Florida, said in an e-mail.
Orange juice for November delivery declined 3.3 percent to close at $1.1445 a pound at 1:47 p.m. on ICE Futures U.S. in New York. Prices fell for four straight sessions, the longest slide since July 23. Earlier, the contract slipped to $1.1355, the lowest since Aug. 28.
Prices have dropped 6 percent this quarter as inventories climbed in Brazil, the biggest citrus grower.
“A glut of orange juice will exist for the next cycle,” Shawn Hackett, the president of Hackett Financial Advisors Inc. in Boynton Beach, Florida, said in an e-mail.
Cotton futures for December delivery fell 0.2 percent to 72.33 cents a pound in New York.