Cotton futures declined significantly on Friday, with contracts closing down between 62 to 89 points. The December contract fell 291 points through the week, reflecting ongoing market weakness. In contrast, crude oil rose by $3.50 per barrel, while the US dollar index increased by 0.011.
As of July 9, export sales data indicated old crop cotton commitments reached 11.951 million running bales (RB), which is 102% of the USDA export projection but trails behind previous years. Shipments totaled 10.398 million RB, equating to 88% of USDA expectations, compared to 93% last year. New crop sales stood at 2.51 million RB.
The Commitment of Traders report revealed that managed money spec funds increased their net long positions in cotton futures and options by 10,578 contracts this week, bringing the total to 49,684 contracts. The Cotlook A Index rose to 90.65 cents, while the Adjusted World Price increased by 3.52 cents to 65.37 cents per pound.
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