ICE cotton rises slightly on weaker dollar; market remains rangebound

ICE’s most active December 2025 contract settled at 65.05 cents per pound (0.453 kg), up 0.18 cent. The July 2025 contract closed at 65.44 cents, up 0.08 cent. Other contracts ranged from 33 points higher to 8 points lower.

Daily trading volume was recorded at 50,092 contracts, down from 65,985 contracts cleared the previous day. Last week’s average daily volume stood at 81,304 contracts, indicating ongoing but slightly reduced participation.

Active trading continues in the July–December spread, contributing minor volatility to an otherwise flat market. Speculators increased their net short positions in ICE cotton futures and options by 5,999 contracts to 67,935 contracts in the week ending June 10, according to Commodity Futures Trading Commission (CFTC) data.

The US Department of Agriculture (USDA) reported that 48 per cent of the US cotton crop was rated good-to-excellent for the week ending June 15, down from 49 per cent the previous week and 54 per cent during the same period last year.

US cotton planting progress reached 85 per cent as of June 15, up from 76 per cent the previous week but still below 89 per cent in the same period last year. The five-year average stands at 90 per cent.

Brazil’s Foreign Trade Secretariat (Secex) reported cotton exports of 71,975.81 tons in the first two weeks of June, with a daily average of 7,197.58 tons—10 per cent lower than last year’s average of 8,020.39 tons.

CBOT soyoil futures surged to an 18-month high, while favourable weather conditions in the US pressured wheat and corn prices. Global markets remained stable as oil prices declined amid no supply disruptions from the Israel–Iran conflict, helping US stock indices close higher and easing inflationary concerns.

Analyst Thomen noted that despite high volume in spreads, the cotton market remains largely rangebound, with no significant directional move anticipated in the short term.

As of the latest session, ICE cotton for July 2025 was trading at 65.34 cents per pound (down 0.10 cent), cash cotton at 65.05 cents (up 1.44 cents), the October 2025 contract at 66.30 cents (up 0.33 cent), the December 2025 contract at 67.99 cents (down 0.03 cent), the March 2026 contract at 69.20 cents (down 0.01 cent), and the May 2026 contract at 70.24 cents (down 0.02 cent). A few contracts remained unchanged, with no trading activity recorded today.

ALCHEMPro News Desk (KUL)