FX.co ★ Cotton Futures Hover Around 1-Week Highs

Cotton futures hovered near 65.2 cents per pound, close to their highest level in a week, supported by firmer crude oil prices amid the ongoing Middle East crisis. At the same time, traders continued to evaluate the global supply–demand outlook.

In its March 2026 WASDE report, the US Department of Agriculture projected higher global cotton production and ending stocks for the 2025–26 season, while trimming its consumption forecast slightly. The USDA raised its production estimate by more than 1.1 million bales to 120.99 million bales, up from 119.86 million bales in February, mainly on expectations of larger crops in Brazil and China.

World consumption was revised down by 140,000 bales, with mill use forecast lower in several countries. This decline is only partially offset by higher projected consumption in China.