Cotton
If you’re not from one of the 17 cotton-producing states, you might not realize that the United States is the world’s biggest exporter of cotton.
Cotton prices have been on a rollercoaster ride this past year. The start to 2021 showed a story of improved prices, which is a dramatic change from just a year ago, as geopolitical issues also come into play.
The latest U.S. Drought Monitor shows from North Dakota to Texas, all the way west to California, the most severe levels of drought didn’t ease across the U.S. this past week.
The cotton price picture is seeing some bullish factors come into play. USDA’s WASDE report on Friday revealed higher exports - along with a smaller crop last year - continue to eat into overall supplies.
Cotton futures rose on Wednesday supported by concerns that dry weather in West Texas, the largest U.S cotton-producing region, may weigh on U.S supplies of the crop.
Cotton futures slumped more than 3% on Thursday as a U.S. government report showed a sharp slide in weekly export sales, putting prices of the natural fiber on course for their third straight weekly decline.
Cotton futures edged lower in choppy trading on Monday, pressured by a firmer dollar, while expectations for a reduction to forecasts for planted acreage in a federal report due later this week put a floor under prices.
ICE cotton futures fell on Wednesday to the lowest in more than a month on a stronger dollar and expectations that rainfall in Texas would be beneficial for the natural fiber crop
Johnny Dickerson, an arrowhead hunting warhorse with a bootstrap tale and over 4,000 showpiece points, is a classic American individualist with no concern for conformity.
The dollar rules, but planting decisions are often complex— even when commodities are shining.