US cotton futures dropped below 80 cents per pound in April, hitting their lowest level in almost four months, due to an increase in certificated stocks, declining demand, and a growing world carryover. Limited U.S. cotton availability and low carryover levels failed to support prices, with market anticipation of a large U.S. crop harvest further driving down futures prices. Widespread rains across the Southwest Plains boosted the probability of a good crop in both the dryland and irrigated areas of that vast region. Additionally, mills turned to non-U.S. sources for raw cotton following a bullish rally in the dollar in February/March, reducing demand for U.S. cotton compared to Brazil and Australia. Furthermore, economic difficulties worldwide, coupled with inflation restricting consumer spending on apparel goods, added pressure on cotton prices.
Cotton decreased 1.80 USd/Lbs or 2.22% since the beginning of 2024, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Historically, Cotton reached an all time high of 227 in March of 2011. Cotton - data, forecasts, historical chart - was last updated on April 26 of 2024.
Cotton decreased 1.80 USd/Lbs or 2.22% since the beginning of 2024, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Cotton is expected to trade at 81.18 USd/Lbs by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 75.85 in 12 months time.