Cotton Starting Monday in the Red

Austin Schroeder Barchart Mon Mar 24, 7:37AM CDT
Cotton on dry branch by Marianne Krohn via Unsplash

Cotton price action is steady to 15 points in the red early on Monday trade. Futures closed the Friday session with contracts falling back 70 to 81 points on the day. May closed the week slipping 210 points since last Friday. The outside factors were mixed, with crude oil futures up 30 cents/barrel and the US dollar index $0.293 higher on the day.

Friday’s CFTC Commitment of Traders report showed managed money cutting back 6,793 contracts from their net short in cotton futures and options as of March 18. The held a net short of 69,617 contracts by Tuesday. 

The Seam showed another light sales total on Thursday at just 285 bales sold online at an average price of 49.08 cents/lb. The Cotlook A Index was steady on 3/20 at 78.50 cents/lb. ICE cotton stocks were steady again on March 20, with the current level of certified stocks at 14,488 bales. The weekly update to USDA’s the Adjusted World Price (AWP), saw an increase of 87 points on Thursday afternoon to 54.63 cents/lb. 

May 25 Cotton  closed at 65.27, down 81 points, currently down 15 points

Jul 25 Cotton  closed at 66.79, down 78 points, currently down 11 points

Dec 25 Cotton  closed at 68.66, down 70 points, currently down 8 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.