The ICE cotton July 2025 contract settled at 67.22 cents per pound (0.453 kg), up 0.40 cent from the previous session. The contract has gained 9 points over the last two sessions. The December contract settled at 68.71 cents, up 0.41 cent on the day. The May contract, which is nearing expiry, surged 1.27 cents to finish at 67.04 cents per pound. Other contracts also posted gains between 21 points and 82 points.
ICE cotton futures rebounded on April 22, 2025, supported by rising crude oil prices, a weaker US dollar, and gains in equity markets.
The July 2025 contract rose 0.40 cent to 67.22 cents/lb.
Higher oil raised polyester costs, aiding cotton’s competitiveness.
Trading volume surged, while deliverable stocks remained unchanged.
Brazil’s March cotton exports dipped 5 per cent YoY.
Crude oil prices climbed 2 per cent, rebounding from a previous sell-off and increasing polyester production costs. Higher oil prices supported US cotton due to the corresponding rise in polyester costs. The weaker US dollar also supported the broader commodity market, including cotton.
Daily trading volume increased to 43,105 contracts, compared to 36,289 in the previous session. ICE’s deliverable stock for the No. 2 cotton futures contract remained unchanged at 14,478 bales as of April 21.
US equity markets posted strong gains, with all three major indexes rising more than 2.5 per cent. The rally in equities occurred despite President Donald Trump’s sharp criticism of Fed chairman Jerome Powell.
Market analysts expressed optimism that the July cotton contract could still rise by a few more cents.
Brazil exported 239,100 tons of cotton in March 2025, 5 per cent lower than the same month in the previous year. Cumulative Brazilian cotton exports for the 2024–25 season reached a record 2.144 million tons, with Turkiye, Vietnam, and Pakistan accounting for 148,158 tons or 62 per cent of March shipments.
Currently, ICE cotton for May 2025 is trading at 67.74 cents per pound (up 0.70 cent), cash cotton at 65.47 cents (up 0.40 cent), the July 2025 contract at 67.80 cents (up 0.58 cent), the October 2025 contract at 69.06 cents (up 0.35 cent), the December 2025 contract at 69.13 cents (up 0.42 cents) and the March 2026 contract at 70.22 cents per pound (up 0.40 cent). A few contracts remained at their previous closing levels, with no trading noted today.
Fibre2Fashion News Desk (KUL)
