Cotton Falls as Stocks Increase

Austin Schroeder Barchart Tue Dec 10, 5:01PM CST
Cotton on branches by Marina Fedorova via iStock

Cotton futures closed out the Tuesday session with losses as USDA raised stocks. Contracts were down 40 to 76 points across the board. The outside markets were mixed factors, with the US dollar index up 275 points and crude oil back $0.7/barrel higher.

USDA’s update to the balance sheet showed a 3 lb increase to yield at 792 lb, with production up 70,000 bales to 14.255 million bales. That helped to increase the 24/25 carryout 100,000 bales higher to 4.4 million. Cotton Ginnings data showed another 2.825 million RB of cotton ginned in the last two week of November, taking the total to 9.678 million RB by 12/1. That is up 15% from the same point last year.

The Seam reported 5,851 bales of online sales on December 9 at an average price of 66.42 cents/lb. ICE cotton stocks 1,236 bales on Monday, at 17,932 bales of certified stocks. The Cotlook A Index was down 100 points on 12/6 at 80.35 cents/lb. The USDA Adjusted World Price (AWP) was raised by 21 points last week to 57.74 cents/lb.

Mar 25 Cotton  closed at 69.48, down 47 points,

May 25 Cotton  closed at 70.69, down 50 points,

Jul 25 Cotton  closed at 71.75, down 50 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.