Cotton futures are showing modest weakness Wednesday morning, with prices declining between 50 and 62 points. The previous session saw losses ranging from 3 to 45 points across contracts, erasing earlier gains from midday trading. Crude oil prices fell another $3.48 per barrel, while the U.S. dollar index dropped 0.109 points.
According to the latest Weekly Crop Progress report, 81% of the U.S. cotton crop had reached the squaring stage as of Sunday, remaining consistent with historical averages. Additionally, 45% of the crop was setting bolls, also aligning with the five-year average pace. Crop condition ratings stood at 46% good/excellent, marking a one percentage point improvement week-over-week. The Brugler500 index rose 4 points to 336. Texas saw a notable 10-point improvement in ratings, while Georgia remained steady. However, Louisiana, Oklahoma, Tennessee, and Virginia reported deteriorating conditions.
The Cotlook A Index declined 125 points Monday, settling at 89.10 cents. ICE certified cotton stocks decreased by 3,536 bales on July 27, bringing the total to 90,699 bales. The Adjusted World Price was reduced by 155 points last week to 63.82 cents per pound and remains valid through Thursday.
Oct 26 Cotton closed at 79.21, down 13 points, currently down 62 points
Dec 26 Cotton closed at 80.53, down 35 points, currently down 50 points
Mar 27 Cotton closed at 82.11, down 36 points, currently down 54 points
