Cotton Futures Rise on Strong Export Sales

Key Numbers Reflect Growing Demand and Market Conditions

Cotton futures showed notable resilience on Friday, with contract values increasing by 20 to 26 points following a boost in export activity. Meanwhile, the broader market saw mixed results, with crude oil slipping by 10 cents per barrel and the US dollar index falling by 13 cents.

Today’s export sales data revealed an impressive 324,072 running bales (RB) of cotton sold for the 2024/25 season, the highest for the marketing year, and 1.74% above last year’s figures. Pakistan emerged as a significant buyer, purchasing 146,300 RB, while Vietnam acquired 52,300 RB. Although shipments were slightly lower than the previous week at 130,318 RB, they still represented a substantial 46.68% increase compared to the same week last year. Among these shipments, 25,200 RB were destined for Pakistan and 18,700 RB for Mexico.

The Seam reported 3,554 bales sold online on November 27, at an average price of 68.64 cents per pound. Additionally, ICE cotton stocks remained unchanged on Thursday, totaling 13,274 bales of certified stock. The Cotlook A Index also held steady at 82.00 cents per pound on November 27. Furthermore, the USDA Adjusted World Price (AWP) saw a decline of 229 points last Thursday, settling at 55.91 cents per pound, with an update expected today due to the holiday.

Mar 25 Cotton is currently at 72, up 25 points.

May 25 Cotton stands at 73.1, up 26 points.

Jul 25 Cotton is priced at 74.03, an increase of 20 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.