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Cotton Futures Edge Higher as Speculators Expand Net Long Positions

BullishLow impact
CT1!USX 80.35 0.26%

Cotton No. 2 Futures (ICEUS:CT1!) traded higher on Monday, with front-month contract prices gaining between 11 and 20 points. December 2026 cotton rose 11 points to 80.11 cents per pound, while March 2027 contracts gained 20 points to reach 83.44 cents per pound. The advance in cotton prices occurred alongside broader market moves, including crude oil gaining $1.66 per barrel and the U.S. dollar index rising $0.137.

Market sentiment received support from increased bullish positioning by speculative funds. Weekly commitment data as of October 13 showed managed money added 1,862 contracts to their net long position across cotton futures and options, bringing total net long contracts to 65,699. Physical trade activity saw sales of 1,729 bales on October 16 at an average price of 74.28 cents per pound, while the Adjusted World Price rose 80 points over the previous week to 64.61 cents per pound.

Traders will continue monitoring physical cash prices and inventory figures following recent adjustments. The Cotlook A index was lowered 35 points on Friday to 91.10, while certified cotton stocks remained steady at 15,129 bales as of October 16. Market participants will also watch external commodity influences like crude oil, as well as shifts in speculative positioning in upcoming positioning reports.

Key points

  • Cotton futures gained 11 to 20 points across front months, with December 2026 contracts trading at 80.11 cents per pound.
  • Managed money investors expanded their net long cotton position by 1,862 contracts to a total of 65,699 contracts as of October 13.
  • Spot market activity on October 16 included 1,729 bales sold on The Seam at an average price of 74.28 cents per pound.
  • The Adjusted World Price gained 80 points last week to 64.61 cents per pound, while certified cotton stocks held flat at 15,129 bales.

Written by our AI from expert market sources across the web. It can contain mistakes: check the facts before acting on them. Write-ups powered by the free AI API at FreeTheAI.org

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Questions and answers

Why are cotton futures rising today?

Cotton futures are gaining alongside higher crude oil prices and increased speculative buying, as managed money added 1,862 contracts to their net long positions.

What is the current position of speculative traders in cotton futures?

Managed money added 1,862 contracts to their net long position in cotton futures and options as of October 13, bringing total net long contracts to 65,699.

What are the latest physical cotton cash sales and stock levels?

Sales of 1,729 bales averaged 74.28 cents per pound on October 16. Intercontinental Exchange certified cotton stocks held steady at 15,129 bales.