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Cotton Futures Plummet, Dampening Growers' Hopes | Cotton Grower

As reported by Cotton Grower, cotton futures prices have taken a nosedive, falling below 82 cents per pound. In the past 12 trading days, December 2024 futures have lost over 5 cents, closing at just over 79 cents on April 17.

Don Shurley of Cotton Grower notes that while export shipments have been strong, sales have been weak, raising concerns about the sustainability of the current pace of shipments. "Weak sales could make it difficult to continue the pace of shipments," he warns.

Despite concerns about sales, USDA's April supply/demand estimates were mixed. Production and exports for the 2023 crop year remained unchanged, but world use/demand was lowered slightly. China's use and imports were increased, while US exports were held unchanged. However, exports were revised up for Australia, Brazil, India, and Turkey, raising concerns.

As for the impact on cotton acres to be planted, Shurley says that "it's early, but as of April 14, the crop is 8% planted, which is normal for that date."

The 90-day weather outlook suggests above-normal temperatures and precipitation in the Southeast and Mid-South, while west and central Texas may experience below-normal conditions.