ICE cotton futures saw a modest rise on June 9, 2025, driven by renewed optimism surrounding trade negotiations between the United States and China. The benchmark July 2025 contract climbed by 0.37 cents to settle at 65.99 cents per pound, marking its highest level in over a week. The December 2025 contract also gained ground, closing at 68.35 cents per pound.
This upward movement, though modest, comes after weeks of relative stagnation. Cotton prices have hovered within a narrow range—between 64 and 66 cents—for nearly a month. Market analysts suggest that while fundamental factors remain largely unchanged, the geopolitical boost from renewed trade talks provided a short-term psychological lift to the market.
Traders are also positioning ahead of the U.S. Department of Agriculture’s upcoming World Agricultural Supply and Demand Estimates (WASDE) report, which could offer further insight into global cotton production, demand, and inventory levels. The report is widely regarded as a key market mover.
Interestingly, a stable U.S. dollar, which usually dampens commodity prices, had little effect on cotton futures this time. Instead, attention was squarely on macroeconomic developments and speculative trading.
Adding to the bullish sentiment, trading volumes surged to 84,356 contracts, significantly higher than both the previous session’s volume and the 30-day average. This spike in activity indicates growing investor interest and possibly a shift in market dynamics as traders anticipate further clarity on trade policies and supply-demand trends in the coming weeks.
