Cotton prices tumbled across markets in the last week of July with numbers plunging midweek on fears that China, the world’s largest purchaser of cotton, may continue having problems with its economy. The US weather forecast for the southern US are dry, which emerged as good news for the growing cotton crop.
Benchmark December Futures lost further US cent 0.43 per pound for the week and the near month October contract fell US cents 1.83. The Cotlook A index also lost US cents 0.80 per pound while the China Cotton Index inched down 20 Yuan a ton.
In Pakistan, cotton prices remained under pressure due to fear of rain damage which may produce water-laden lint due to the continuing rainfall in several parts of the cotton belt. Moreover, global weakness in cotton and yarn prices also pressured cotton markets. Cotton prices in India moved down on weak demand from mills and normal monsoon progress.
Courtesy: Weekly PriceWatch Report
