Cotton Prices Falling Back on Wednesday

Cotton futures are trading with 90 to 98 point losses so far on Thursday, as contracts correct from near limit gains on Tuesday. The outside markets are stronger, as Crude oil is up $4.09 following the US striking Iran overnight and President Trump stating the ceasefire is over. The US also revoked waivers authorizing Iran oil exports. The US dollar index is up $0.087.

Market Movements

■Cotton futures trading with 90-98 point losses.

■US dollar index up 0.087 points.

Trade Data

■1.46 million bales of cotton exported in May.

■This represents a 15.3% increase from a year ago and a 3-year high.

Price Changes

■Jul 26 Cotton at 76.94, up 299 points.

■Dec 26 Cotton at 80.31, down 98 points.

■Mar 27 Cotton at 81.74, down 94 points.

How will the markets be affected by this situation and what trajectory will they follow in the future? These questions have important implications for the future of cotton prices.