ICE cotton futures reached a three-week high due to rising supply concerns and a weaker dollar, which made U.S. cotton more attractive to global buyers. Severe weather in the U.S. cotton-growing regions has delayed harvesting, adding to supply pressures. The May 2025 contract settled at 68.82 cents per pound, its highest since January 24, with trading volumes reflecting strong market activity.
Additionally, U.S. cotton acreage is forecasted to decline 14.5% in 2025, further fueling supply concerns. Speculators have also reduced their net short positions, contributing to market strength. Analysts suggest the weaker dollar will continue supporting cotton prices by making U.S. cotton more affordable internationally.
The National Cotton Council’s survey estimates U.S. total cotton planting intentions at 9.6 million acres in 2025, a significant decline compared to last year, with upland and long-staple cotton acreage expected to drop by 14.4% and 23.5%, respectively.
