Cotton Lower as Planting Progresses

The cotton market is lower Wednesday morning as the planting of the 2026 crop is proceeding unencumbered. In addition, surrounding markets — including crude, grains, and gold — are all lower. Traders are awaiting more news concerning Iran, as well as other forthcoming cotton reports. 

Tuesday afternoon, USDA issued its weekly Crop Progress report. The data showed 53% of the U.S. 2026 cotton crop was planted. That number was up from 41% the previous week and 50% a year ago. It was right on the five-year average for this date at 53%. Texas was 42% planted versus a five-year average of 45%. Georgia was 58% planted, up from 38% last week and below the five-year average at 60%. Arkansas was 77% planted versus a five-year average of 78%. Mississippi was 73% planted versus a five-year average of 69%.

This Friday, USDA will issue a new round of export sales. Last week’s business saw improvements in the numbers, but overall, cumulative sales for this time of year are running roughly ten percent behind the five-year average.

Also, this Friday, the CFTC will update its Commitments of Traders numbers. Last week’s data showed managed-money funds had bought-in nearly 2,500 contracts, lifting their net-long carry to 62,000-plus positions. 

Option expiration for the July contract is Friday, June 12, while the spot July contract commences delivery on June 24, running through July 9. 

The 6- to 10-day forecast (June 1-June 5) shows below- to well-below, normal temperatures for Texas, the U.S. Delta, and the Southeast U.S. Rain-wise, Texas is forecasted for above-normal precipitation, while the Delta and the Southeast look to have slightly higher chances for rain. 

Chart support for December cotton stands at 78.05 cents and 77.20 cents, with resistance around 80.60 cents and 81.25 cents. Wednesday morning’s estimated volume is 25,785 contracts.

Keith Brown can be reached at commodityconsults@gmail.com or by calling (229) 890-7780.