Cotton Prices Decline Amid Mixed Market Signals

Cotton prices are down by 51 to 53 points on Tuesday morning following a weak finish on Monday. Futures contracts dropped between 10 to 25 points, illustrating the market’s struggle. Meanwhile, the US dollar index saw a slight increase of 91 points, while crude oil prices experienced a rise of $0.95 per barrel.

On December 6, The Seam reported 1,251 bales of online sales at an average price of 53.32 cents per pound. ICE cotton stocks as of Friday totaled 2,233 bales, of which certified stocks reached 16,696 bales. The Cotlook A Index fell by 25 points on December 6, settling at 81.35 cents per pound. Additionally, the USDA Adjusted World Price (AWP) increased by 21 points last week, now at 57.74 cents per pound.

Looking at specific futures, Mar 25 Cotton closed at 69.95, down 16 points, currently 53 points lower. For May 25 Cotton, the closing price was 71.19, also down 16 points and currently down 53 points. Similarly, Jul 25 Cotton ended at 72.25, down 16 points, with a current decline of 51 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.

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