EUR/US$: 1.1669
Cotton Rounds Out Wednesday with Gains
Barchart: Cotton futures posted strong gains on Wednesday, with the December contract closing at 89.14 cents/lb (+0.80) and March at 91.07 cents/lb (+0.84), each up roughly 0.9% on the day. Crude oil eased while the US dollar firmed. The seven-day forecast remains mostly dry across Texas, with only light scattered rainfall expected, keeping drought concerns in play for the crop.
Source: Barchart
Calcot Daily Market Comment: Cotton Hits Contract Highs as Bulls Turn Cautious
Calcot (Daily Market Comment): Cotton futures settled at contract highs in nearly every actively traded month on Wednesday, with December topping its recent high to close at 89.14 cents/lb - the highest level since April 2024. Volume was moderate for 2026 standards, and open interest posted its first drop in 18 sessions, an early sign that the recent wave of speculative buying may be running out of steam. China's State Reserve logged its 28th consecutive sold-out auction, selling 8,035 tonnes (about 35,354 bales) and pushing its 28-day total to roughly 988,000 bales, split between US, Brazilian and Xinjiang cotton. Corn, soybeans and wheat also rallied sharply, raising the question of whether cotton's strength is part of a broader commodities rush, while crude oil fell for a third straight session amid Iran-Oman talks over a temporary Strait of Hormuz shipping corridor. Analysts note the rally still lacks confirmation from downstream demand.
Source: Calcot
Indian Cotton Yarn Makers Step Up China Market Push, Eye Bigger Share
The Hindu BusinessLine: India's cotton yarn exports to China more than doubled in FY2025-26, topping $460 million from $217 million the previous year, as Indian exporters push for a bigger share of the world's largest textile market. At the Yarn and Apparel Expo in Shanghai this week, Indian manufacturers showcased premium 100% cotton yarns, combed and compact yarns, organic-certified cotton and specialty blends under a dedicated TEXPROCIL pavilion. Exports to China had shrunk after the pandemic on weak demand and pricing pressure but have picked up pace over the past couple of years, and exporters are hoping to build further on the recovery.
Source: The Hindu BusinessLine
Global Trade Shake-Up Reaches Fashion as Zara Supplier Pearl Global Eyes Africa Market
Economic Times (Reuters): Zara, Levi's and Gap supplier Pearl Global Industries is evaluating manufacturing opportunities in North Africa and Jordan as it looks to position production closer to European customers and cut its reliance on the US market. The Indian group's US revenue share has fallen to about 50% from over 85% in fiscal 2021, while the EU now accounts for 16-17% of group revenue after Rs 50.25 billion (over $625 million) in FY2026 sales; management is targeting growth of more than 15% in FY2027 and a Rs 60 billion revenue goal by FY2028. Pearl Global already runs plants in India, Bangladesh, Vietnam, Indonesia and Guatemala, joining other Indian apparel makers - Raymond Lifestyle in Ethiopia and Gokaldas Exports in Kenya and Ethiopia - in expanding African capacity as the industry adjusts to US trade policy shifts and Middle East shipping disruptions.
Source: Economic Times
