EUR/US$: 1.1133
U.S. Cotton: Futures Close Higher on Wednesday
Barchart: Cotton futures closed 8 to 25 points higher on Wednesday, supported by outside markets as crude oil rallied and the dollar eased. The Cotlook A Index fell 75 points to 90.70 cents, and ICE certificated stocks rose by 800 bales to 27,591. The Adjusted World Price stood at 65.01 cents/lb and will be updated on Thursday. Dec 26 settled at 78.15 (+9), Mar 27 at 81.90 (+8) and May 27 at 83.54 (+15).
Source: Barchart
U.S. Cotton: Small Gains After Four Losing Sessions, Fed Holds Rates
Calcot – Cindy Walters: December settled at 78.15, up 9 points, a modest gain after four sessions of heavy losses, leaving it 368 points lower over five sessions. December posted a fourth consecutive lower high and lower low and settled below its 200-day moving average for a second day, which it had not done since early March. Open interest fell for a fourth session from its record of 402,264 contracts on October 21. The Federal Reserve kept rates unchanged, as expected, although two of twelve policymakers voted for a quarter-point increase, citing elevated inflation and solid economic activity. Crude oil rebounded 2.9% as diplomatic efforts to end the U.S.–Iran war made little progress. Certificated stocks rose by another 800 bales, bringing new certifications over the last seven reports to 14,047 bales, and index fund rolls begin today (Rogers) and on November 6 (Goldman Sachs).
Source: Calcot
U.S. Cotton: USDA Targets Exports with New Trade Incentives
California Ag Today – Haylie Shipp: As part of the Great American Cotton Plan, Agriculture Secretary Brooke Rollins announced a trade mechanism linking preferential tariff treatment on certain apparel imports from Bangladesh, Indonesia, Cambodia and Malaysia to their purchases of U.S. cotton and textile products. The initiative is expected to start in 2027, but it is not yet clear how much additional demand it will create, including for California's Pima crop. USDA also plans to let growers combine certain crop insurance endorsements from the 2027 crop year, with details due to agents and providers by November 30, although the practical benefit for California growers remains to be seen.
Source: California Ag Today
India: Cotton Supply Under Pressure as Crop Risks and Textile Demand Rise
Textile Value Chain: India could face a supply gap in 2026/27, with production estimated below 280 lakh bales and consumption potentially above 360 lakh bales if textile export orders improve, compared with about 340 lakh bales in 2025/26. Imports reached a record of about 71 lakh bales in 2025/26, up from 57.4 lakh the previous season. Gujarat 29-mm cotton has risen about ₹4,500 per candy since October 1 to ₹68,500, while yarn prices have not kept pace, squeezing ginners and spinners. Erratic rainfall and moisture stress have led some farmers to cut picking or clear fields early, and a decision is awaited on extending the duty-free import window beyond October 31. A weaker Brazilian real after the October 25 election could also make Brazilian cotton more competitive.
Source: Textile Value Chain
China: ZCE Cotton Falls Amid Mounting Supply Pressure
CCFGroup: The January contract on China's Zhengzhou Commodity Exchange fell on heavy volume and rising open interest, as the market's focus shifted from seed cotton cost support to new-crop supply pressure. Picking in Xinjiang has passed 80%, commercial stocks are building and downstream textile demand has failed to deliver the usual peak-season boost. With ample global supplies, the short-term outlook is bearish, while the medium-term direction will depend on the firmness of seed cotton prices and the pace of offtake.
Source: CCFGroup
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