Today's M^3 - Cotton Futures Down 36% Since March

We mentioned cotton prices in a post back on May 20th where we discussed the decline in The GAP's (ticker: GPS) stock price. An analyst had used the excuse of high cotton prices to explain the decline in earnings. GPS should be a screaming buy now with cotton in a free fall since March.



According to this article from Bloomberg, slowing demand from China has been a big contributor to the drop in prices. So even though there's been a lot of hype about recent food and energy price increases, the rise in the commodity complex has not been unanimous. Of the 29 commodities we track on www.pikefin.com, only a little over half are up since January (15 out of 29).