Market Movement from 01st Jul 2024 to 06th Jul 2024.

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• The future contract for cotton in New York closed lower again, indicating reduced demand due to lower export sales. Also, higher acreage report put bearish trend in market. The December contract closed with a loss of 171 points week-over-week.
• In the latest U. S. Export Sales Report for the week ending 27-Jun-2024, U.S. export sales for the 2023-2024 season reported net upland sales of 1,15,400 bales and upland shipments of 1,75,800 bales. Net Pima sales for the same period were 2,200 bales, with Pima shipments totaling 7,800 bales, bringing the total sales to 1,17,600 bales. For the 2024-2025 season, net upland sales were 56,900 bales, with no net Pima sales, resulting in a total of 56,900 bales. Shipment not looks to meet target of 11.8 M bales.
• This week, the Gujcot spot rate for cotton showed modest variations. On Monday, the rate was 57,650 Rs per Candy, increasing to 57,900 on Tuesday and further to 58,050 on Wednesday. It then slightly decreased back to 57,900 on Thursday before rising again to 58,000 on Friday. On Saturday, the rate was 57,750 Rs per Candy. Overall, the week witnessed a gradual increase in the spot rate with slight fluctuations.
• All India arrivals were near 20,000 bales per day. Despite the slow arrivals, the market did not react bearishly to the future outlook but remained stable.
• The Indian basis rose significantly, reaching near and above 1,700 points over the New York December contract, due to the downtrend in New York futures and stable Indian physical rates.
• The USD-INR exchange rate exhibited slight fluctuations, starting at 83.43 on Monday and progressively rising to 83.50 on Tuesday and 83.53 on Wednesday. The rate then experienced a minor decline, dropping to 83.49 on Thursday and further to 83.48 on Friday. Overall, the week showed a slight upward trend before a modest decrease towards the end.
• Monsoon well progress in cotton growing area. Cotton cultivation in full flow.
• Hope for the better monsoon ahead.