Cotton Incorporated has reported that there has been little change in the cotton market or a modest increase from the previous month. This trend is demonstrated by several important benchmarks.
In mid-August, the US December NY/ICE futures contract, which had been declining since April, found support at 67 cents per pound. Prices have ranged from 67 to 71 cents per pound ever since.
The A Index stayed fairly steady, averaging eighty cents per pound. While domestic prices in China ranged from 14,700 to 15,000 RMB per tonne, the Chinese Cotton Index (CC Index 3128B) remained relatively stable at approximately 94 cents per pound.
As per Cotton Inc.’s September 2024 Monthly Economic Letter – Cotton Market Fundamentals & Price Outlook, there was a minor increase in the value of the renminbi, which is also known as the Chinese Yuan, in relation to the US dollar. It increased from 7.17 to 7.11 RMB/USD.
Furthermore, the spot price of Indian cotton of Shankar-6 quality increased from 86 to 90 cents per pound. The price of each confectionery increased from Rs. 56,500 to Rs. 59,900 domestically. In relation to the US dollar, the Indian rupee held steady at approximately Rs. 84.
The spot price of cotton in Pakistan increased from 76 to 81 cents per pound, suggesting that the commodity’s market worth increased. The Pakistani rupee remained stable at about 279 PKR/USD, but domestic prices increased from 17,400 to 18,500 PKR per maund.