World cotton prices traded in a band of just under five cents per lb in June as tracked by the Cotlook A Index, falling 140 points overall to close the month at 85.30 cents per lb.
On the New York exchange, the December contract shed 279 points on balance, having touched a peak of 80.54 cents per lb on June 2, and a trough of 75.30 cents a week afterward.
The July delivery marked its first notice day on June 24. Total Open Interest declined by 32,579 contracts from the close of May, reaching 305,708, with daily volumes easing by the period’s end.
Within the physical market, import buying remained at typical levels for most of the month. Pakistan had shown activity in May, but most buyers stepped back from international deals as domestic new crop supplies increased and prices softened.
In Bangladesh, focus stayed on Brazilian and West African cotton, though mills remained especially price-conscious amid ongoing high energy costs and tightening margins.
Turkey recorded moderate purchases to meet immediate needs, though downstream demand eased as the slower summer season set in.
Across far eastern markets, trading stayed relatively quiet, with limited volumes secured by buyers covering shortfalls, while price expectations frequently proved unrealistic.
China’s demand also remained sluggish, constrained partly by restricted import quotas and softer yarn sales. Stockpiles held at ports were likewise substantial.
Image courtesy: NPR
