Cotton Futures Rise as Planting Progresses and Market Awaits Fed Decision: PCCA

Cotton futures experienced a modest rebound the past week, with the July contract gaining 47 points to settle at 81.08 cents per pound, according to the latest report by Plains Cotton Cooperative Association (PCCA).

The report highlights the recent uptick in certificated stocks, reaching 178,147 bales, indicating increased availability of cotton for delivery against futures contracts.

Export sales remained robust, with a net total of 177,100 Upland bales sold for the week ending April 18th, a 21% increase from the previous week. China was the primary buyer, followed by Pakistan and Vietnam.

"The U.S. Export Sales Report showed a net total of 177,100 Upland bales sold for the week ending April 18, a 21% increase from the previous week," the PCCA report states.

New crop sales also exceeded expectations, with 65,700 bales booked, primarily by China, Honduras, and Turkey.

Looking ahead, market participants will be closely watching several key events and data releases. The upcoming U.S. Export Sales Report and Crop Progress Report will provide further insights into demand and planting progress.

Additionally, the Federal Open Market Committee meeting on April 30th and May 1st will be closely monitored for any potential changes in interest rates, which could impact overall market sentiment.

With cotton planting now 11% complete nationwide and 16% complete in Texas, timely rains in the coming weeks will be crucial for ensuring a successful start to the growing season.