Cotton Futures Edge Up

2026-07-06 16:40 By Larissa Caser 1 min. read

Cotton futures rose to around 78 cents per pound, as adverse weather conditions in key regions supported higher prices.

As of July 1, 97% of the U.S.

cotton crop had been planted, although a record-breaking heat dome across the eastern U.S.

raised concerns over crop conditions.

India is likely to see below average monsoon rainfall after recording its fifth driest June since 1901 causing planting lags.

Meanwhile, Brazil's cotton exports remained strong, up 10.6% compared to a year earlier.

Prices are expected to stay between 75-80 cents in the near-term, according to the U.S.

Department of Agriculture's weakly export sales report, despite showing weaker demand for U.S.

cotton.

The US plans to impose tariffs on countries violating forced labor regulations, although it allows countries to avoid these new tariffs if they increase the use of US-origin inputs.

India has waived duty on cotton imports until October, although a decision beyond October is still pending.



News Stream
Cotton Futures Edge Up
Cotton futures rose to around 78 cents per pound, as adverse weather conditions in key regions supported higher prices. As of July 1, 97% of the U.S. cotton crop had been planted, although a record-breaking heat dome across the eastern U.S. raised concerns over crop conditions. India is likely to see below average monsoon rainfall after recording its fifth driest June since 1901 causing planting lags. Meanwhile, Brazil's cotton exports remained strong, up 10.6% compared to a year earlier. Prices are expected to stay between 75-80 cents in the near-term, according to the U.S. Department of Agriculture's weakly export sales report, despite showing weaker demand for U.S. cotton. The US plans to impose tariffs on countries violating forced labor regulations, although it allows countries to avoid these new tariffs if they increase the use of US-origin inputs. India has waived duty on cotton imports until October, although a decision beyond October is still pending.
2026-07-06
Cotton Futures Nears April Lows
Cotton futures traded around 77 cents per pound, falling more than 13% from a nearly two-year high of 87.77 cents reached on May 11, amid weaker US export demand. A softer US dollar improved US cotton’s competitiveness overseas, but export sales remained subdued, according to the latest USDA data. Adding to the pressure, lower crude oil prices weighed on sentiment, as cheaper feedstock costs for petrochemicals such as naphtha made synthetic fibers more competitive relative to cotton. Despite the recent pullback, cotton prices remain up nearly 18% year-to-date, supported by expectations of tighter global supplies. Persistent dry weather in India and the risk of a Super El Niño affecting key growing regions have dampened the production outlook. Meanwhile, Brazil is positioned to benefit from elevated prices and expectations of drier US weather, remaining on track to achieve a record 3.1 million tonnes in sales by the end of June.
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Cotton Futures Edge Lower
Cotton futures traded near 78 cents per pound after briefly falling toward 77 cents, with recent price action largely driven by short covering. A stronger US dollar pressured the market after Federal Reserve officials reinforced a hawkish policy outlook, reducing the competitiveness of US cotton exports. Lower crude oil prices also weighed on sentiment, as cheaper synthetic fibers became more competitive relative to cotton. Meanwhile, crop conditions remained broadly favorable, although investors continue to monitor weather developments across key US growing regions ahead of July, with excessive rainfall affecting some areas and drought concerns persisting in others. At the same time, certified cotton stocks remain ample, pointing to a limited risk of a delivery squeeze and helping to keep supply concerns contained.
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