Cotton Futures Fading into Tuesday

The AM cotton trade has the board 40 to 46 points lower for the turnaround Tuesday session. Front month cotton prices had firmed up on Monday to start the new week. The Dec contract closed up by 60 points, and just 21 points off the session high. 

USDA had 75% of the cotton crop with open bolls as of 10/1. The harvest pace increased 5% points from last week to 18% complete. The average would be 17% complete by now. USDA more of the crop in the very poor category this week,  for a 268 on the Brugler500 Index. That was down from a 271 reading last week via sharp decreases in AL and OK. 

NASS data showed 409 RBs of cotton were consumed during August. That compares to 858 RBs in Aug ’22 and does not compare mo/mo due to confidentiality. Cotton stocks were 2,240 running bales – 737 RBs tighter than July. 

The 9/29 Cotlook A Index increased 50 points to 98.85 cents. The USDA Weekly Cotton Market Review had 17,515 bales sold at spot for the week with an average price of 83.15 cents/lb. The season’s sales reached 87,927 bales, compared to 26.3k last year. FSA reduced the AWP for cotton by 2 points for the week to 72.27 cents/lb. ICE Certified Stocks increased another 2.4k bales to 37,512 as of 9/28. 

Dec 23 Cotton  closed at 87.75, up 60 points, currently down 36 points

Mar 24 Cotton  closed at 88.59, up 67 points, currently down 46 points

May 24 Cotton  closed at 89.18, up 68 points, currently down 45 points