Trading activity in the cotton industry has shifted from the December NY/ICE contract to March. Prices for the March NY/ICE contract have been volatile, routinely changing two percent or more on a daily basis. However, values were rangebound over the past month, moving higher and lower within a band between 80 and 87 cents/lb, as per Cotton Incorporated.
In early November, values were at the upper end of the range. More recently, values shifted towards the lower end and have traded near 82 cents/lb. The A Index followed the pattern of movement in NY/ICE futures and was also rangebound, with values shifting between 98 and 105 cents/lb, according to a report titled ‘Cotton Market Fundamentals & Price Outlook December 2022’ by Cotton Incorporated.
Chinese prices represented by the China Cotton Index (CC 3128B) were steady around 96 cents/lb. In terms of RMB/ton, values slipped from 15,400 to 14,900. The RMB strengthened against the USD over the past month, from 7.30 to 6.98.
Indian spot prices (Shankar-6 quality) moved higher and lower between early November and early December but ended the period at the same value that it began (103 cents/lb). In terms of INR/candy, values traded between Rs. 66,000 and Rs. 69,000. The INR was steady near Rs. 82 per USD over the past month.
Pakistani prices moved a little lower, falling from 92 to 90 cents/lb over the past month. In domestic terms, prices traded between 16,700 and 16,500 PKR/maund. The PKR held near 223 PKR/USD over the past month.
Trading activity in the cotton industry has shifted from the December NY/ICE contract to March. Prices for the March NY/ICE contract have been volatile, routinely changing two percent or more on a daily basis. However, values were rangebound over the past month, moving higher and lower within a band between 80 and 87 cents/lb, as per Cotton Incorporated.
