Forexpros - Cotton futures were up for a second day on Tuesday, jumping to a two-week high after data showed that cotton imports from top consumer China surged in October.
On the ICE Futures U.S. Exchange, cotton futures for December delivery traded at USD1.0141 a pound during European afternoon trade, gaining 0.62%.
It earlier rose by as much as 0.85% to trade at USD1.0186 a pound, the highest price since November 1.
China's state-owned National Cotton Reserves Corporation said late Monday that China imported 252,300 tonnes of cotton in October, a 163% jump from the same period last year, as lower prices boosted purchases.
Cotton traders have been focusing on prospects for increased Chinese demand in recent weeks after the country started a cotton stockpile in early September to protect domestic farmers' interests.
According to Chinese industry group Cotlook, cotton imports by China could reach 300,000 tonnes each month in November and December.
However, gains were limited amid easing concerns over the U.S. cotton harvest. The U.S. Department of Agriculture said in its weekly crop progress report, published after markets closed Monday, that nearly 79% of the U.S. cotton crop was harvested as of November 13, up from 70% the week before.
In Texas, the largest cotton-growing state in the U.S., approximately 78% of the cotton crop was harvested as of last week, compared to 67% a week earlier, while 72% of crops in Alabama, the third-largest grower, were harvested, up from 61% a week before.
The U.S. is the world's third largest cotton producer and the biggest exporter of the fiber.
Meanwhile, commodity traders continued to monitor developments out of the euro zone surrounding the region's debt crisis.
Italy's 10-year bond yields rose to near unsustainable levels, climbing above 7%, while Spanish 10-year yields rose above 6% for the first time since the European Central Bank started to buy the country's bonds in August.
The news weighed on the euro, while the dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.5% to trade at 78.03.
Elsewhere, on the ICE Futures Exchange, coffee futures for December delivery fell 0.67% to trade at USD 2.3482 a pound, while sugar futures for March delivery added 0.24% to trade at USD0.2477 a pound.
