Cotton Futures Surge Amidst Mixed Market Conditions

Cotton futures experienced gains between 89 and 142 points across most nearby contracts on Tuesday, largely disregarding negative external influences. Meanwhile, crude oil futures declined by 34 cents per barrel as the US dollar index rose by $0.032.

Consumption and Inventory Update

The latest NASS Cotton Systems report revealed that 257 running bales (RB) of extra long stable cotton were consumed in February. This figure was slightly lower than January’s consumption and significantly down from the same month last year. Current stocks on hand stand at 386 RB.

Market Indicators

According to The Seam, there were 1,533 bales sold online on March 31, priced at an average of 63.47 cents per pound. The Cotlook A Index decreased by 25 points last Friday, landing at 78.90 cents per pound. Additionally, ICE cotton stocks remained steady as of March 28, with certified stocks reported at 14,488 bales. The USDA’s Adjusted World Price (AWP) fell by 97 points on Thursday afternoon, now at 53.66 cents per pound, according to a report.

Closing Prices for Cotton Futures

May 25 Cotton closed at 68.25, marking an increase of 142 points.

Jul 25 Cotton finished at 69.18, up by 119 points.

Dec 25 Cotton ended at 70.81, reflecting a gain of 89 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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