Feb. 23 (Bloomberg) -- Cotton futures fell as sliding global equities triggered mounting concerns that the deteriorating economy will erode use of the fiber and other commodities.

The Dow Jones Industrial Average closed at the lowest level since 1997 on signs of a deepening U.S. recession. The Reuters/Jefferies CRB Index of 19 raw materials fell to the lowest since June 2002.

“Stocks are down,” said Tom Reardon, the president of Delta Brokerage in New York. “We are following everything else.”

Cotton futures for May delivery fell 0.19 cent, or 0.4 percent, to 43.91 cents a pound on ICE Futures U.S. in New York. The price dropped 2.5 percent last week and is down 10 percent this year on slumping demand for textiles.

Global cotton consumption in the year ending July 31 will decrease 8.2 percent to 112.6 million bales, the U.S. Department of Agriculture said on Feb. 10. A bale weighs 480 pounds, or 218 kilograms.

To contact the reporter on this story: Shruti Date Singh in Chicago at ssingh28@bloomberg.net.

Last Updated: February 23, 2009 16:02 EST