The more active March 2026 cotton futures settled at 64.12 cents per pound, up 0.26 cents. The contract extended gains after rising 0.18 cents the previous day. The March contract had already ended a six-day losing streak on Tuesday. Cotton futures through May 2027 finished higher for the second consecutive session. Other contracts traded mixed, with movements ranging from 25 points higher to 45 points lower.
Total market volume was 30,419 contracts, down from 38,105 contracts cleared the previous day. ICE certified No. 2 deliverable cotton stocks remained stable at 13,971 bales as of December 9, 2025.
Market sentiment stayed confined to narrow ranges following the Federal Reserve’s 0.25 per cent interest rate cut. Fed Chair Powell said, “We’re well positioned to wait and see,” which helped support US equity markets.
According to analysts, the market experienced a modest rebound, and the December WASDE report was largely in line with expectations, limiting price swings. USDA’s December estimates place US cotton production at 14.3 million bales, up 1 per cent from November due to upward revisions in the Southeast and Delta regions.
Global cotton production for 2025–26 is projected at 119.79 million bales, down from 120.08 million in November, while global ending stocks are estimated at 75.97 million bales, slightly higher than 75.93 million last month.
Analysts expect prices to remain range-bound unless market fundamentals or signals from the Federal Reserve change.
This morning (Indian Standard Time), ICE cotton for March 2026 was trading at 62.12 cents per pound (unchanged), cash cotton at 61.87 cents (up 0.01 cent), the May 2026 contract at 65.15 cents (down 0.02 cent), the July 2026 contract at 66.16 cents (unchanged), the October 2026 contract at 66.68 cents (up 0.01 cent) and the December 2026 contract at 67.67 cents (down 0.01 cent). Several contracts remained at their previous closing levels, with no trading recorded so far today.
ALCHEMPro News Desk (KUL)
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