Cotton Futures Decline Amid Tariff Tensions and Oil Market Dip

Cotton futures are experiencing losses of 180 to 224 points as of midday Friday, reversing early declines. In addition, crude oil futures have dropped $5.09 per barrel, while the US dollar index has strengthened by $0.900 today.

In a significant trade response, China has introduced a retaliatory tariff of 34% on all US goods, reacting to President Trump’s recent tariffs.

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Export sales data reveals total cotton commitments at 10.438 million running bales (RB), marking a 4% decrease from last year. Notably, this figure represents 101% of the USDA report, with an average pace recorded at 102%.

The Cotlook A Index declined by 50 points on April 3, landing at 79.60 cents per pound. Meanwhile, ICE cotton stocks remained unchanged as of April 2, with certified stocks currently at 14,488 bales. Additionally, USDA’s Adjusted World Price (AWP) increased by 158 points on Thursday afternoon, reaching 55.22 cents per pound.

May 25 Cotton is priced at 62.56, down 224 points.

Jul 25 Cotton is trading at 63.9, down 181 points.

Dec 25 Cotton stands at 65.7, down 185 points.

On the date of publication, Austin Schroeder did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data included are for informational purposes only. For more details, please see the Barchart Disclosure Policy
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