Weekly Cotton Market Review, narrative

MP_cn206 June 13, 2025 Weekly Cotton Market Review Spot quotations averaged 5 points slightly higher than the previous week, according to the USDA, Agricultural Marketing Service�s Cotton and Tobacco Program. Quotations for the base quality of cotton (color 41, leaf 4, staple 34, mike 35-36 and 43-49, strength 27.0 - 28.9, and uniformity 81.0 - 81.9) in the seven designated markets averaged 62.71 cents per pound for the week ending Thursday, June 12, 2025. The weekly average was up from 62.66 cents last week but down from 64.97 cents reported the corresponding period a year ago. Daily average quotations ranged from a high of 63.17 cents on Monday, June 6 to a low of 62.32 cents on Thursday, June 12. Spot transactions reported in the Daily Spot Cotton Quotations for the week ended June 12 totaled 5,266 bales. This compares to 3,892 reported last week and 440 bales reported the corresponding week a year ago. Total spot transactions for the season were 967,719 bales compared to 833,637 bales the corresponding week a year ago. The ICE July settlement price ended the week at 65.14 cents, compared to 65.36 cents last week. Southeastern Markets Regional Summary Spot cotton trading was moderate. Supplies and offerings were light. Demand was moderate. Average local spot prices were steady. Trading of CCC-loan equities was inactive. No interest in forward contracting was reported. Partly cloudy to conditions dominated the weather pattern across the lower Southeast during much of the period. Daytime high temperatures were in the 80s and 90s. Nighttime lows were in the 60s and 70s. Intermittent scattered thunderstorms brought rainfall to areas throughout Alabama, the Florida Panhandle, and Georgia during the week. Precipitation totals measured from one-half of an inch to four inches of moisture. In many areas, fields remained too soggy to support equipment. According to the National Agricultural Service�s (NASS) crop progress report, planting was 87 percent completed in in Georgia, and 82 percent in Alabama. Squaring was underway in the earliest planted fields. Partly to mostly cloudy skies were observed across the upper Southeast during the period. Daytime high temperatures were in the 80s and 90s. Nighttime lows were in the 60s and 70s. Scattered thunderstorms brought widespread precipitation to areas throughout the Carolinas and Virginia during the period. Rainfall totals measured from one-half of an inch to two inches of moisture, with heavier accumulations recorded at some locales. Planting and fieldwork advanced in fields as dry conditions allowed, but some areas remained too soggy to support equipment. According to NASS, planting was 92 percent completed in Virginia, 85 in South Carolina, and 80 percent completed in North Carolina. Squaring was underway in South Carolina and Virginia. Textile Mill Domestic mill buyers inquired for a moderate volume of color 41, leaf 4 and better, and staple 34 and longer for first quarter through third quarter 2026 delivery. No sales were reported. The undertone from mill buyers remained cautious. Mill buyers balanced raw cotton purchases with demand for yarn. Demand through export channels was moderate. Agents for mills throughout the Far East inquired for any discounted styles of cotton. Trading � � A moderate volume of color mostly 21 and 31, leaf 2 and 3, staple 35 and 36, mike 37-49, strength 27-30, and uniformity 80-83 sold for around 69.00 cents, FOB car/truck (Rule 5, compression charges paid). � A heavy volume of color mostly 31 and 41, leaf 2 and 3, staple 36 and longer, mike 35-49, strength 26-28, and uniformity 79-82 sold for around 68.75 cents, same terms as above. South Central Markets Regional Summary North Delta Spot cotton trading was slow. Supplies of available cotton were light. Demand was very light. Trading of CCC-loan equities was inactive. Average local spot prices were steady. There was no interest in forward contracting as producers waited for a higher market price to encourage market activity. Cloudy skies characterized the weather pattern with daytime high temperatures in the 70s to 90s. Nighttime lows were in the 60s and 70s. Steady rainfall was received early in the period and scattered thunderstorms moved through the region late in the period. Additional chances of rain were in the nearby forecast. Some areas received one and three-quarters of an inch of precipitation. Weed control became an issue due to excessive rain. Fieldwork was done in some areas where weeds were prevalent. Fertilizer was applied as needed. All planting deadlines ended for crop insurance. Growers closely monitored progress of the stands. Local experts expected a decline in cotton production. According to the National Agricultural Statistics Service�s (NASS) Crop Progress report released on June 9, cotton planted was at 93 percent in Arkansas, 97 in Missouri, and 85 percent in Tennessee. NASS reported cotton squaring at 3 percent in Arkansas, 5 in Missouri, and 7 percent in Tennessee. Virtual and in-person meetings were planned and attended. South Delta Trading of spot cotton and CCC-loan equities was inactive. Supplies of available cotton were light. Demand was very light. Average local spot prices were steady. There was no interest in forward contracting as producers waited for higher market prices to encourage market activity. Partly cloudy skies prevailed throughout the reporting period. Stray showers were prevalent early in the period. The National Weather Service issued a river flood advisory in Greenville, MS. A storm front brought two and three-quarter inches of rain. Daytime high temperatures were in the 90s cooling into the 80s. Overnight lows were in the 60s and 70s. Field activity was hampered in areas where soils were not firm enough to support equipment. Insurance adjustors began inspecting fields after excessive rainfall. According to the National Agricultural Statistics Service�s (NASS) Crop Progress report released on June 9, cotton squaring was at 6 percent in Louisiana and 2 percent in Mississippi. NASS reported cotton planted at 95 percent in Louisiana and 65 percent in Mississippi. Virtual and in-person meetings were planned and attended. Trading North Delta � A mixed lot containing a heavy volume of color 31, leaf 3 and better, staple 36, mike 37-49, strength 27-33, and uniformity 79-83 sold for around 71.25 cents per pound, FOB car/truck (Rule 5, compression charges paid). South Delta � No trading activity was reported. Southwestern Markets Regional Summary East Texas-South Texas Spot cotton trading was slow. Supplies and producer offerings were light. Demand was light. Average local spot prices were steady. Producer interest in forward contracting was moderate. Trading of CCC-loan equities was inactive. Foreign mill inquiries were light. Interest was best from Bangladesh, Japan, and Vietnam. In East Texas, sunny to partly cloudy skies gave way to heavy rainfall and stormy weather conditions mid-week. Daytime high temperatures were in the mid-80s and 90s, with nighttime lows in the mid-60s and 70s. Rainfall totals ranged from over one-half of an inch to five and one-half inches of moisture. Cotton in the Blackland Prairies and the Brazos River Bottoms continued to progress, and more fields were squaring. Pesticide and herbicide applications were made early in the week. Local experts reported that acres will be down in the Southern Blackland Prairies from the previous seasons. Very wet weather conditions prevailed in the South Texas region, with thunderstorms producing consistent, heavy rainfall that resulted in Flash Flood Warnings. Daytime high temperatures ranged from the low 70s to the low 90s. Nighttime low temperatures were in the upper 70s to the low 80s. Accumulated rainfall totals were trace amounts to over four inches of precipitation at some locales. Whether or not the precipitation was beneficial was yet to be seen and varied from region to region based on the dryness of the area prior to the rain, as some areas have been wet this season. According to local sources, areas of the Upper Gulf Coast will benefit from the moisture as bolls fill in. Due to replanting, growth stages vary throughout the region, with the earliest planted cotton in full bloom. In the lower Rio Grande Valley, stands in the earlier planted fields had mature bolls. Producers applied pesticide and herbicide early in the period ahead of the rainfall. West Texas-Kansas-Oklahoma Spot cotton trading was moderate. Supplies and producer offerings were light. Demand was very light. Average local spot prices were firm. Producer interest in forward contracting was light. Trading of CCC-loan equities was inactive. Foreign mill inquiries were light. Interest was best from Bangladesh, Japan, and Vietnam. In Texas, daytime high temperatures were in the low 80s to low 100s, and overnight lows were in the 50s to 70s. Thunderstorms with occasional wind gusts produced blowing dust and brought damaging hail at some locales. The Northern High Plains received more than two and three-fourths inches of moisture, and lesser amounts in the Rolling Plains. The rainfall was beneficial, although some crop damage was reported. Progress was challenging and ranged from emergence up to 5 true leaves. Some fields had begun to square. Sprayers were active as fields dried. Scouting was underway for thrips, but most fields were under threshold levels. Meetings were attended. In Kansas, daytime temperatures were in the low 80s to upper 90s, and overnight lows were in the 50s to 60s. A series of thunderstorms brought more than four inches of rainfall that left fields waterlogged. Mostly sunny and partly cloudy skies prevailed after the thunderstorms moved out of the area. Early stand progress was slow. A period of hot, dry weather was needed for stands to advance. Many acres were lost because of excessive moisture and wind damage. Insurance adjusters evaluated damage. Some fields will be replanted to soybeans. In Oklahoma, final planting and replanting was slowed by recent rainfall with daytime temperatures in the upper 80s to mid-90s, and overnight lows in the 60s to 70s. Multiple days of beneficial rainfall gave stands a boost. Some locations received up to four inches of precipitation. Dryland stands had begun to emerge. Irrigated stands were up to 7 and 8 leaves and had begun to square. Weed flushes increased. Monitoring was ongoing for early season thrips, but beneficial insects and recent rain helped keep populations below threshold levels. Trading East Texas/South Texas � A light volume of color 52 and better, leaf 3, staple 34-37, mike averaging 44.7, strength averaging 31.0, and uniformity averaging 81.1 traded for around 59.00 cents per pound, FOB warehouse (compression charges not paid). West Texas, Kansas & Oklahoma � In Texas, an evening-running lot containing a heavy volume of color 21 and 31, leaf 2 and 3, staple 35 and 36, mike 41-49, strength 27-32, and uniformity 77-82 sold for around 66.00 cents per pound, FOB car/truck (compression charges not paid). � A mixed lot containing a light volume of color 31 and 41, leaf 2 and 3, staple 32-38, mike 34-47, strength 29-34, uniformity 78-81, and 25 percent extraneous matter traded for around 60.00 cents, same terms as above. � In Kansas, a mixed lot containing a light volume of color 22 and better, leaf 3 and better, staple 35, mike 36-47, strength 30-34, and uniformity 79-83 traded for around 61.25 cents, same terms as above. � In Oklahoma, an even-running lot containing a moderate volume of color 11 and 21, leaf 3 and better, staple 36, mike 38-49, strength 28-34, and uniformity 80-83 sold for around 67.00 cents, same terms as above. Western Markets Regional Summary Desert Southwest (DSW) Spot cotton trading was inactive. Supplies and producer offerings were light. Demand was light. Producer interest in forward contracting was light. Average local prices were steady. No forward contracting or domestic mill activity was reported. Foreign mill inquiries were light. Weather conditions were sunny and hot throughout the DSW. Daily temperatures ranged from 104 to 110 degrees. Nightly lows were in the mid-to-upper 70s. High temperatures prompted excessive heat warnings to be issued throughout the territory. No rain was recorded. In Yuma, AZ, blooming expanded and the crop progressed. In Arizona, squaring was at 36 percent according to the National Agricultural Statistics Service�s Crop Progress report released on June 9. In New Mexico and the El Paso, TX, daytime temperatures ranged from the 90s to 100s. Overnight lows were in the 60s and 70s. Trace amounts of rain were recorded in West Texas. The overall crop progressed. San Joaquin Valley (SJV) Spot cotton trading was inactive. Supplies and demand were light. No forward contracting or domestic mill activity was reported. Average local prices were steady. Foreign mill inquiries were light. Daily temperatures throughout the period ranged from the upper 90s to low 100s. Nighttime lows were in the 60s and 70s. The warm temperatures encouraged plant development and squaring advanced in earliest-planted fields. Producers planned irrigation schedules as the fruiting stage nears. Fields were scouted for pests. According to National Agricultural Statistics Service�s Crop Progress report released on June 9, the California crop condition was rated as mostly excellent. American Pima (AP) Spot cotton trading was inactive. Supplies were moderate. Demand was light. No forward contracting or domestic mill activity was reported. Average local spot prices were steady. Foreign mill inquiries were light. Temperatures throughout the Far West ranged from daytime highs in the mid-90s to low 100s and nightly lows were in the 60s and 70s. No rain was recorded during the period. In the San Joaquin Valley, plants were squaring in the earliest-planted fields. No significant insect pressure was reported, but producers continued to scout fields. In the Desert Southwest, daily temperatures soared into the triple digits, prompting excessive heat warnings to be issued throughout the territory. Nightly lows were in the mid-to-upper 70s. In Arizona, cotton fields throughout the state ranged from emergence to blooming. The crop progressed. In New Mexico and West Texas, daytime temperatures ranged from the 90s to 100s, with nighttime lows in the 70s. Trace amounts of rain were recorded in West Texas. The overall crop progressed. Trading Desert Southwest � No trading activity was reported. San Joaquin Valley � No trading activity was reported. American Pima � No trading activity was reported. Save the Date: The Visalia Classing Office will host the annual American Pima Guide Box Matching on July 16, 2025.