Cotton Prices Rise Amid Strong Export Sales and Market Insights

Cotton prices are experiencing an uptick, increasing by 4 to 25 points as of today. Futures climbed between 53 to 76 points on Thursday, with May contracts gaining 43 points last week. Additionally, crude oil futures rose by $2.10 per barrel, while the US dollar index increased by $0.037 to reach 99.180.

Speculative Trading Dynamics

The latest CFTC Commitment of Traders report indicated that speculative funds have added 13,273 contracts to their net short position, bringing the total to 42,418 contracts as of April 15.

Strong Export Commitments Highlighted by USDA

According to the USDA’s Export Sales report, a total of 201,990 running bales (RB) of cotton were sold in the week ending April 10. This brings the total export commitment to 10.755 million RB, which is 106% of the USDA’s export forecast and exceeds the average pace of 103%.

Market Data and Index Movement

The Seam reported that 5,231 cash bales were sold online on April 16 at an average price of 64.63 cents per pound. The Cotlook A Index increased by 85 points on Wednesday, now standing at 77.25 cents per pound. ICE cotton stocks remained stable on April 16 with certified stocks recorded at 14,478 bales. The USDA’s Adjusted World Price (AWP) rose by 33 points on Thursday to reach 53.43 cents per pound.

Cotton Futures Closing Prices

For May 25 cotton, the closing price was 66.32 cents, up 53 points, with current trading showing an increase of 25 points. The July 25 cotton closed at 67.13 cents, up 76 points, with a current rise of 4 points. Meanwhile, December 25 cotton finished at 68.44 cents, an increase of 53 points, and is currently up 6 points.

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