The ICE cotton July 2025 contract settled at 64.84 cents per pound (0.453 kg), down 0.49 cent from the previous day. This marked the contract’s lowest closing level since April 4, with a loss of 127 points over the past three sessions. The December 2025 contract settled at 66.76 cents, down 34 points, with a total loss of 87 points over the last three days.
ICE cotton futures extended losses for the third straight day, with July 2025 hitting its lowest since April amid trade uncertainty and weak demand.
A court ruling blocking US tariff hikes and the subsequent temporary stay on the same added to confusion.
Despite a weaker US dollar, prices found no support, as expiry pressure and declining open interest weighed on sentiment.
Despite the weaker US dollar, cotton prices showed no signs of support, signalling that global demand remains weak.
The total volume traded was 37,072 contracts, indicating moderate market activity. Cleared contracts on the previous day stood at 42,757, showing slightly higher participation than today. ICE certified stock fell to 41,863 bales as of May 28, down from 46,517 bales a day earlier.
The approaching July contract expiry and upcoming option expiration are prompting traders to exit positions; the first notice day is June 24. Traders in the July contracts are exiting due to expiry pressures and market uncertainty.
A recent ruling by the US Court of International Trade, which declared many Trump 2.0-era tariffs illegal, created fresh uncertainty for trade-related decisions, especially affecting the December new-crop contract outlook. The subsequent temporary stay on the ruling further heightened the confusion.
Market analysts stated that the market remains confused, with traders unsure whether to buy, sell, or stay on the sidelines. Overall sentiment is negative due to expiry pressure, weak demand, declining open interest, and policy-related confusion.
As of now, ICE cotton for July 2025 was trading at 64.65 cents per pound (down 0.19 cent), cash cotton at 63.09 cents (down 0.49 cent), the October 2025 contract at 67.24 cents (down 0.52 cent), the December 2025 contract at 67.59 cents (down 0.17 cent), the March 2026 contract at 69.16 cents per pound (down 0.13 cent), and the May 2026 contract at 70.20 cents (up 0.17 cent). A few contracts remained at their previous closing levels, with no trading recorded today.
Fibre2Fashion News Desk (KUL)
