Cotton Futures Decline as Crop Progress Trails Behind Average

Cotton futures concluded Tuesday’s trading session with contracts dropping between 6 to 35 points. Meanwhile, crude oil prices saw an increase of $1.67 per barrel. The US dollar index also fell, decreasing by $0.789 to a value of $100.810.

Crop Progress Report Reveals Planting Delays

According to the latest Crop Progress data, only 28% of the US cotton crop had been planted by May 11. This figure trails behind the 31% average planting pace for this time of year. In Texas, planting progress reached 27%, which is 2 points lower than the average, while Georgia lagged at 24%, compared to the average of 28%.

Market Trends and Latest Auction Results

In the latest online auction held on Friday by The Seam, sales totaled 1,415 bales, with an average price of 68.86 cents per pound. The Cotlook A Index remained unchanged on Monday at 78.25. Additionally, ICE cotton stocks increased by 4,990 bales as of May 12, bringing total certified stocks to 27,240 bales. Notably, the USDA’s Adjusted World Price (AWP) fell 13 points last Thursday, now at 54.81 cents per pound.

Latest Cotton Futures Prices

Jul 25 Cotton closed at 66.28, down 35 points.

Oct 25 Cotton finished at 68.83, down 6 points.

Dec 25 Cotton closed at 68.77, a drop of 8 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 here.

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