Cotton Futures Squeeze Downward Amidst Strong Dollar and Stabilizing Oil Prices

Cotton futures ended Tuesday trading with declines ranging from 31 to 43 points. External market pressures, notably the US dollar index rising by 104 points and crude oil falling by 45 cents per barrel, were significant factors influencing these losses.

Market Sales and Stock Updates

The Seam recorded 6,398 bales of online sales on December 16, with an average selling price of 64.11 cents per pound. Meanwhile, ICE cotton stocks remained unchanged on Monday, totaling 20,113 bales of certified stocks. On December 13, the Cotlook A Index saw a drop of 75 points, settling at 79.50 cents per pound. Additionally, the USDA Adjusted World Price (AWP) was reduced by 152 points last Thursday, now sitting at 56.22 cents per pound.

Futures Prices Update

March 2025 Cotton closed at 68.69 cents, down 37 points.

May 2025 Cotton ended at 69.82 cents, marking a drop of 40 points.

July 2025 Cotton finished at 70.84 cents, down 43 points.

On the date of publication, Austin Schroeder did not hold any positions, directly or indirectly, in the securities mentioned in this article. All information and data in this article are for informational purposes only. For more details, please see the Barchart Disclosure Policy here.

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