Cotton futures experienced notable gains on January 2, with March contracts closing at 64.65 cents per pound, increasing by 64 points. May contracts rose to 65.99 cents, up by 62 points, and July contracts gained 59 points, closing at 67.31 cents. Meanwhile, crude oil prices climbed by $1.08 per barrel to $58.34, while the US dollar index fell by 0.113 to 98.045.
The USDA’s Export Sales report indicated that 133,996 running bales (RB) of cotton were sold in the week ending December 25, with shipments at 140,723 RB, down from the previous week. Commitment of Traders data as of last Tuesday showed managed money reducing their net short positions in cotton futures and options to 49,078 contracts, a decrease of 1,368 contracts.
The Seam’s online auction on January 2 recorded sales of 4,796 bales at an average price of 57.81 cents per pound. The Cotlook A Index remained steady at 74.30 cents, and ICE certified cotton stocks were unchanged at 11,510 bales. The adjusted world price was updated to 50.76 cents per pound, reflecting an increase of 74 points from the prior week.
