According to trade analysts, yesterday the ICE cotton December contract settled at 72.21 cents per pound (0.453 kg), down by 41 points. The December contract gained just 7 points this week, marking the first week of gains in the last month. The expiring July contract settled at 68.19 cents, down 266 points. It witnessed a fall of 278 points this week.

The dollar index settled 0.2 per cent higher yesterday, limiting cotton demand from foreign buyers. Crude oil was almost flat and did not influence the cotton market.

Due to expiration, the trading volume was limited to just 27,166 contracts, the lightest in nearly five weeks. Open interest was 213,048 contracts, down by 3,440 contracts. Certified stocks began the day at 136,656 bales, up 469 bales in new certifications.

Some areas of Texas received rain after a long time, providing relief to standing crops. Traders were waiting to see the weather impact and demand improvements in the coming days for any significant trigger.

On Friday, ICE cotton July 2024 settled 2.66 cents lower at 68.19 cents per pound. Cash cotton settled at 66.01 cents (up 0.13 cents), the October (new crop) contract at 72.01 cents (down 0.13 cents), the December 2024 contract at 72.21 cents (down 0.41 cents), the March 2025 contract at 73.60 cents per pound (down 0.36 cents), and the May 2025 contract at 74.93 cents (down 0.31 cents).

Fibre2Fashion News Desk (KUL)