Cotton Market Faces Mixed Results Amid Strong Harvest Progress

Price Decrease Amid Supportive Markets

Cotton prices experienced losses ranging from 14 to 45 points on Tuesday. On Monday, futures showed mixed results; nearby contracts fell between 1 and 24 points while some contracts gained between 2 and 23 points. Notably, outside markets provided support with crude oil prices rising by $2.20 per barrel and the US dollar index dropping by 398 points.

Harvest Update Shows Fast Progress

According to data from the USDA’s National Agricultural Statistics Service (NASS), the US cotton harvest was 63% complete as of November 3. This marks a pace that is 9% faster than the five-year average.

Sales Data and Price Index Updates

The Seam reported 3,799 bales sold online on November 1, with an average selling price of 68.44 cents per pound. Meanwhile, ICE cotton stocks remained unchanged on Friday, holding at 174 bales of certified stocks. On November 1, the Cotlook A Index fell by 35 points to 81.70 cents per pound. The USDA’s Adjusted World Price (AWP) decreased by 74 points, now sitting at 58.54 cents per pound as of last Thursday’s update.

Current Cotton Futures Prices

As for the futures contracts, Mar 25 Cotton closed at 72.27 cents, down 6 points, and is currently down 44 points. May 25 Cotton ended at 73.76 cents, a decrease of 7 points, with a current drop of 42 points. July 25 Cotton closed at 75.03 cents, marking a slight decrease of 1 point and currently down 40 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.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.