Cotton Collapses on Monday with Larger Acreage

Austin Schroeder Barchart Mon Jun 30, 5:10PM CDT
Cotton field with drones by DJI-Agras via Pixabay

Cotton posted triple digit losses on Monday, with contracts down 112 to 124 points on larger than expected acreage number reported. Crude oil was down $0.55/barrel, with the US dollar index $0.590 lower.

Weekly Crop Progress data showed 95% of the US cotton crop planted (98% on average), with 40% squaring (3 points ahead of normal and 9% setting bolls. Condition ratings improved 4% to 51% gd/ex, with the Brugler500 index up 9 points to 336.

This morning’s Acreage report from USDA showed 10.12 million cotton acres planted this spring, above trade ideas of 9.735 million and the 9.867 million acre March Intentions number. 

The Seam reported 3,134 bales sold in the Friday online auction at an average price of 65.21 cents. The Cotlook A Index was up 50 points on 6/27 at 79.65. ICE cotton stocks were down 6,385 on June 27 via decertification, with a certified stocks level of 45,110 bales. USDA’s Adjusted World Price (AWP) was up 15 points last Thursday at 54.18 cents/lb.

Jul 25 Cotton  closed at 66.28, down 124 points,

Oct 25 Cotton  closed at 67.68, down 112 points,

Dec 25 Cotton  closed at 68.13, down 119 points


On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.