Global cotton prices strengthen amid optimism over U.S. economy; Pakistan’s market stays steady with limited trade and stable cotton price.
On Monday, both international and domestic cotton markets showed a mixed trend. Globally, hopes for the end of the U.S. government shutdown supported market sentiment, while local trading remained generally slow.
🌎 New York Cotton Market:
A bullish trend was observed in New York cotton futures.
- December closed at 64.31¢/lb (+0.69)
- March at 65.77 (+0.63)
- May at 66.92 (+0.57)
- July at 67.93 (+0.49)
Improvement in U.S. stock and grain futures markets, along with optimism over the end of the government shutdown, kept cotton prices firm.
🇨🇳 China Cotton Market:
China cotton futures recorded a slight decline:
- November at 13,840 (-5)
- January at 13,555 (-20)
- March at 13,545 (-30)
- May at 13,560 (-30)
Overall, the Chinese market remained stable, with only minor price softening.
📈 China Cotton Balance Sheet Report:
According to the latest balance sheet, China’s cotton market remains stable.
- Production increased by 3.77% to 6.6 million tons.
- Imports (1.4 million tons) and consumption (7.4 million tons) remained unchanged from last year.
- Ending stocks rose by 2.8% to 8.45 million tons.
Overall, supply remains strong and the market is well-balanced.
💹 Global Indexes & Economic Indicators:
| Indicator | Value | Change |
|---|---|---|
| Dollar Index | 99.59 | (-0.01) |
| KCA Spot Rate | Rs. 15,200 | (+200) |
| A Index | 75.85 | (-0.70) |
| CC Index | 14,844 | (-15) |
| Shankar-6 | Rs. 52,300 | (-500) |
| Gold | Rs. 429,862 per 10g | (+7,400) |
The Pakistani Rupee strengthened slightly, while gold prices rose sharply.
💵 Interbank Market:
The U.S. dollar depreciated marginally by 1 paisa, closing at Rs. 280.81. The rupee showed mild stability overall.
🏦 Wall Street & Crude Oil:
Major Wall Street indexes rose on Monday.
News of a potential end to the U.S. government shutdown boosted investor confidence.
Crude oil prices also moved higher, although concerns about supply disruptions persist.
🌾 Awaiting USDA Agricultural Report:
The U.S. Department of Agriculture (USDA) will release its delayed Monthly Supply & Demand Report this Friday. Investors are eagerly awaiting the update.
📦 DCMR Cotton Market:
According to sources, around 11,000 bales were traded today, priced between Rs. 14,300 and Rs. 15,750 per maund.
- Sindh: ~4,000 bales traded between Rs. 15,000–15,750
- Punjab: ~7,000 bales traded between Rs. 14,300–15,300
Overall, trading remained steady but limited.
🇵🇰 Local Market Overview:
Trading activity in the local cotton market remained slow.
Demand for high-quality cotton improved slightly; however, payment issues and stagnant yarn prices kept overall business restricted.
Cotton prices remained stable, while oilcake and cottonseed prices saw minor declines.
📊 Overall Summary:
The global cotton market shows signs of improvement, while the domestic market remains stable.
Supply and stock positions are strong, but the textile sector’s liquidity crunch and unchanged yarn prices continue to pressure trade activity.
Daily Cotton and Fiber Price Updates
Key Points
- Cotton Market Analysis — Balanced Global Supply, Limited Local Activity
- Steady Cotton Fundamentals Despite Weak Domestic Demand
- International Cotton Prices Strengthen; Local Trade Remains Subdued
- Cotton Market Report: Supply Strength and Liquidity Challenges Persist