ICE cotton futures fell on Friday, hitting their lowest level in two weeks, pressured by a weekly export sales report that signaled weak demand for the natural fiber.

* Cotton contracts for March (CTH6) fell 0.11 cent, or 0.2%, at 63.97 cents per lb at 11:52 a.m. ET (16:52 GMT), dropping to its lowest level since November 21. The contract was down 1.2% for the week.

* On Thursday, the U.S. Department of Agriculture (USDA) released its weekly cotton export sales report for the week ending October 30, showing net sales of 81,500 running bales (rb) in 2025/26, down from the prior week's 132,800, and new sales of 83,100 rb.

* "The export sales report was not very good... Demand remains sluggish and cotton prices are meandering sideways," said Keith Brown, principal cotton broker at Keith Brown and Co in Georgia, adding that the market is waiting for next week's crop report.

* For the March contract, prices are expected to range between a high of 65.20 cents and a low of 63 cents in the near-term, Brown added.

* The USDA is scheduled to release its crop production report, followed by the World Agricultural Supply and Demand Estimates (WASDE) on December 9, providing traders with insights into demand and supply for the natural fiber. The agency will also issue its weekly export sales report for the week ending November 6 on Monday, December 8, delayed due to the 43-day U.S. government shutdown.

* Meanwhile, the U.S. dollar edged up against a basket of currencies adding pressure to the commodity, making it costlier for overseas buyers.

* Chicago soybean futures edged down and were set for a first weekly loss in eight amid uncertainty over the scale of Chinese demand for U.S. supplies under a bilateral trade truce.