Cotton Futures Experience Minor Decline Amid External Support

Cotton futures faced a slight downturn on Tuesday, with contracts declining by as much as 28 points in the nearby markets. Despite the weakness, some outside factors offered mild support. Crude oil futures rose by 9 cents per barrel, while the US dollar index fell by $0.081 for the day.

Upcoming Report Predictions

Bloomberg analysts forecast that Monday’s Prospective Planting report will reveal an estimated 9.9 million acres dedicated to cotton cultivation. This estimate ranges between 8.8 million and 10.5 million acres.

Market Updates

The Seam reported 672 bales sold online on March 24, with an average price of 54.91 cents per pound. Meanwhile, the Cotlook A Index decreased by 75 points on Monday, settling at 77.50 cents per pound. Similarly, ICE cotton stocks remained steady as of March 21, with certified stocks totaling 14,488 bales. Additionally, last week’s USDA update noted a rise of 87 points in the Adjusted World Price (AWP), reaching 54.63 cents per pound.

Cotton Contract Prices

May 25 Cotton closed at 65.14, down 28 points.

Jul 25 Cotton settled at 66.75, also down 28 points.

Dec 25 Cotton finished at 68.80, down 13 points.

On the date of publication, Austin Schroeder did not hold positions in any of the securities mentioned in this article. All information and data in this article are provided solely for informational purposes. For further details, please view the Barchart Disclosure Policy here.

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