According to trade analysts, the ICE cotton December contract settled at 71.05 cents per pound (0.453 kg), up by 0.07 cents. The March 2025 contract rose by 0.13 cents to reach 72.84 cents.

Crude oil prices decreased by nearly one per cent, weakening sentiments in cotton futures. Global supply concerns for crude oil eased following hopes for a ceasefire in Gaza.

Cotton traders were waiting for the US cotton export sales report and are keenly anticipating the USDA's monthly World Agricultural Supply and Demand Estimates (WASDE) report, due on Friday. The USDA's weekly crop growth report revealed that as of 7 July 2024, 45 per cent of US cotton was rated as excellent or good. This rating is down from 50 per cent the previous week and 48 per cent in the same period last year, indicating a decline in crop conditions.

ICE data showed that cotton futures contract inventory remained stable at 53,790 bales as of July 5, with no change from the previous trading day.

On Tuesday, ICE cotton for December 2024 traded 0.13 cents higher at 71.18 cents per pound. Cash cotton traded at 63.49 cents (up 0.01 cents), the July 2024 contract at 67.32 cents (up 0.01 cents), the October contract at 69.49 cents (up 0.01 cents), the March 2025 contract at 73.00 cents per pound (up 0.16 cents), and the May 2025 contract at 74.37 cents (up 0.16 cents).

Fibre2Fashion News Desk (KUL)