Wintry weather, or the lack of it, in Florida dominated trading Monday in orange juice futures on the Cotton Exchange in New York. Orange juice futures prices opened lower as a reaction to a freeze that failed to materialize during recent days in Florida, said Judy Weissman, an analyst in New York with Shearson Lehman Brothers Inc.
But this turned around in fairly active trading, she said, because of new forecasts for colder weather by next Saturday. Further, she said, many traders wanted to take a position Monday because there will be no trading in orange juice Tuesday or Christmas Day.
Prices settled higher on contracts for delivery in nearby months, but lower for distant contracts.
There is some underlying support for orange juice, but not strong enough for a rallying point, in the Brazilian crop, Weissman said.
A report out of drought-stricken Brazil on Friday put the 1986-87 crop at 150 million to 170 million 90-pound boxes, compared to an earlier estimate of 240 million boxes. Nonetheless, she said, Brazil should have no trouble meeting export demand because of its high inventories.