DTN Closing Cotton            07/14 13:43

   Cotton Sees Technical Stability

   Ahead of Friday's World Agricultural Supply and Demand Estimates update, the 
cotton market was somewhat "oversold". Thus, once the data was released, and 
despite a larger crop, a "buy-the-rumor-sell-the-news" among traders helped to 
jump prices higher today.

Keith Brown
DTN Contributing Cotton Analyst

   Ahead of Friday's World Agricultural Supply and Demand Estimates update, the 
cotton market was somewhat "oversold". Thus, once the data was released, and 
despite a larger crop, a "buy-the-rumor-sell-the-news" among traders helped to 
jump prices higher today. Moreover, there are several economic reports due this 
week that will likely have their impact. 

   This afternoon at 4 p.m. EDT, USDA will issue its weekly crop condition 
report. Last week's rating showed the crop at 52% good/excellent while one year 
ago the crop was 45% good/excellent.  

   Tomorrow, a new Consumer Price Index (CPI) (consumer inflation) will be 
issued at 8:30 a.m. EDT. The CPI month-over-month (MoM) is expected at +0.3% 
(+0.1% last month) and core CPI MoM is also expected at +03% (+0.1% last 
month). CPI year-over-year (YoY) is expected at +2.6% (+2.4% last month) and 
core CPI YOY is expected at +2.9% (+2.8% last month).

   On Wednesday, a fresh Producer Price Index (PPI) (wholesale inflation) will 
be reported. The estimates are monthly PPI at +0.2% for both total and core, 
versus +0.1% last month. However, YOY PPI is expected at +2.5% (+2.6% last 
month) and core at +2.7% (+3.0% last month). The numbers will be out at 8:30 
a.m. EDT. 

   Then on Thursday, USDA will release a new round of exports-sales numbers. 
From last week's data, we note that cumulative U.S. cotton sales for both new 
and old crops are near their lowest levels in a decade. 

   For Monday, December 2025 ended at 6809, up 67 points, while March 2026 went 
out at 6936, plus 61 points. Today's estimated volume was 28,671 contracts.

   Keith Brown can be reached at commodityconsults@gmail.com




(c) Copyright 2025 DTN, LLC. All rights reserved.