The A Index, a global indicator, also showed strength, increasing from 79 to 84 cents/lb in the same period, Cotton Incorporated said in its Monthly Economic Letter – Cotton Market Fundamentals & Price Outlook for October 2024.
Global cotton prices showed mixed trends over the past month.
The NY/ICE futures and the A Index saw gains, with NY/ICE rising from below 70 to 74 cents/lb before stabilising at 72 cents/lb.
China’s cotton prices also increased, while Indian and Pakistani spot prices declined.
Currency fluctuations had a minor impact, with the RMB slightly strengthening and both the INR and PKR remaining stable.
China’s cotton market showed significant growth, with the Chinese Cotton Index (CC Index 3128B) rising from 94 to 100 cents/lb. In domestic terms, prices advanced from 14,700 RMB/ton to 15,600 RMB/ton. A slight strengthening of the RMB against the US dollar, from 7.12 to 7.08 RMB/USD, also contributed to this increase.
In contrast, India and Pakistan experienced price declines. Indian spot prices for Shankar-6 quality cotton decreased from 91 to 86 cents/lb, or from ₹60,000 to ₹56,700 per candy in local terms, while the INR remained stable at around ₹84 per USD.
Similarly, Pakistani spot prices fell from 81 to 77 cents/lb, with domestic prices dropping from 18,500 to 17,700 PKR/maund. The exchange rate held steady at approximately 278 PKR/USD.
Fibre2Fashion News Desk (KD)
