Cotton Futures Decline Amid Mixed Market Trends

Export Sales Dip and Price Index Adjustments Impact Cotton Market

Cotton futures experienced a decline of 22 to 39 points in the front months on Thursday. Mixed performances were noted in external markets, with crude oil futures rising by 61 cents per barrel, while the US dollar index increased by 161 points during a late-day rally.

According to the Weekly Export Sales data, total cotton sales reached 280,010 running bales (RB) for the week ending January 23. This figure represents a significant drop of 19.75% compared to the previous week and a 19.85% decrease compared to the same week last year. Notably, Vietnam purchased 86,000 RB, while Turkey bought 76,300 RB. Shipments for the week amounted to 153,512 RB, reflecting a 31.04% week-over-week decline. Key destinations included Pakistan with 38,700 RB and Vietnam with 30,500 RB.

The Seam reported 4,646 bales of online sales on January 29, which averaged a price of 59.48 cents per pound. Meanwhile, ICE cotton stocks remained stable on Wednesday at 218 bales of certified stock. On January 29, the Cotlook A Index dropped by 25 points, closing at 78.25 cents per pound. In contrast, the USDA Adjusted World Price (AWP) rose by 31 points from the previous week, reaching 54.02 cents per pound.

Mar 25 Cotton closed at 66.27, down 39 points.

May 25 Cotton closed at 67.54, down 26 points.

Jul 25 Cotton closed at 68.74, down 22 points.

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