Cotton Futures and Market Overview: Key Updates for Traders

Cotton futures experienced declines of 40 to 60 points across the front months on Tuesday, with May futures set to expire on Wednesday. In contrast, crude oil prices rebounded, rising by $1.96 per barrel. The US dollar index also saw a decrease, falling by $0.570 to settle at 99.070.

Current Crop Progress

According to Crop Progress data, 21% of the US cotton crop was planted as of May 4, which is ahead of the 20% average planting pace. This figure, however, lags behind last year’s 23% pace. Texas reported planting at 25%, exceeding the average by 3 points, while Georgia stood at 13% planted.

Cotton Export and Auction Statistics

Recent census data indicates that cotton exports, excluding linters, totaled 1.834 million bales for March. This figure represents a significant increase of 31.45% from February and is 12.24% larger than the same month in 2024. In addition, The Seam’s online auction on May 5 revealed sales of only 24 bales at an average price of 63 cents per pound.

Market Indicators

The Cotlook A Index fell by 25 points last Friday, standing at 77.25. Additionally, ICE cotton stocks were down by 528 bales due to decertification, bringing certified stock levels to 14,049 bales. The USDA’s Adjusted World Price (AWP) increased by 6 points last week, reaching 54.94 cents per pound.

Closing Prices for Cotton

May 25 Cotton closed at 71.94, a rise of 159 points,

Jul 25 Cotton closed at 67.83, down 59 points,

Dec 25 Cotton closed at 69.52, down 46 points.

On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are solely for informational purposes. For more information, please view the Barchart Disclosure Policy
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The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.