Cotton futures are expected to trade sideways to higher: Angel Commodities

Angel Commodities' report on Cotton

Cotton futures on MCX closed higher last week on speculative buying tracking International prices. However, higher supplies this season through imports and good stocks available with the farmers. According to trade sources, India’s cotton imports have touched an all-time high of 30 lakh bales this season.

Outlook

Cotton futures are expected trade sideways to higher on expectation of good physical demand. However, reports of higher stock levels, normal monsoon and anticipation of higher sowing acreage in the country may pressurize prices. Moreover, lower exports prospects and higher imports keeping prices under pressure.