Cotton Futures Dip as Market Fluctuates

The cotton market saw a decline on Thursday, with nearby futures dropping 104 to 107 points. This movement came amid mixed signals from the wider financial markets, as the US dollar index decreased by 151 points, while crude oil prices fell by $1.33 per barrel, going under the $80 mark.

Export Sales Show Positive Signs

In the week ending January 9, export sales data revealed that 316,248 RB of upland cotton were sold, marking the largest total in seven weeks. Turkey led as the main destination with 102,100 RB, followed by Vietnam at 79,400 RB. Additionally, shipments reached 224,825 RB for the week, the highest volume since May, with Vietnam receiving 84,000 RB and Pakistan 33,800 RB.

Market Statistics and Index Updates

The Seam reported 9,475 bales of online sales on January 15, averaging 61.80 cents per pound. Meanwhile, ICE cotton stocks remained steady on Wednesday, holding at 218 bales of certified stocks. On January 15, the Cotlook A Index decreased by 15 points to 77.85 cents per pound. The USDA Adjusted World Price (AWP) also fell, down 68 points from the prior week to 53.98 cents per pound.

Closing Prices of Cotton Futures

Mar 25 Cotton closed at 66.73, down 104 points.

May 25 Cotton closed at 67.85, down 107 points.

Jul 25 Cotton closed at 68.88, down 104 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 is 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.