Weekly Cotton Market Review, narrative

Mp_cn206 Weekly Cotton Market Review June 6, 2025 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 62.66 cents per pound for the week ending Thursday, June 5, 2025. The weekly average was up from 62.61 cents last week but down from 67.03 cents reported the corresponding period a year ago. Daily average quotations ranged from a high of 63.27 cents on Monday, June 2 to a low of 62.13 cents on Wednesday, June 4. Spot transactions reported in the Daily Spot Cotton Quotations for the week ended June 5 totaled 3,892 bales. This compares to 1,499 reported last week and zero bales reported the corresponding week a year ago. Total spot transactions for the season were 962,453 bales compared to 833,197 bales the corresponding week a year ago. The ICE July settlement price ended the week at 65.36 cents, compared to 64.84 cents last week. Southeastern Markets Regional Summary Spot cotton trading was slow. 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 overcast conditions prevailed 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. Scattered thunderstorms brought moisture to areas of central and south Alabama, the Florida Panhandle, and areas of central Georgia. Weekly accumulated precipitation totals measured from trace amounts to around one inch of moisture, with heavier totals recorded in localized areas. In areas where soils were firm enough to support equipment, fieldwork and planting advanced. According to the National Agricultural Statistics Service�s Crop Progress report released on June 2, planting was at 64 percent completed in Florida, 58 in Georgia, and 55 percent in Alabama. A mix of sunny to cloudy conditions was 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. Widespread thunderstorms brought moderate precipitation to much of the Carolinas throughout the week. Precipitation totals measured around one to two inches of moisture. Planting and fieldwork advanced in fields where soils were firm enough to support equipment. Textile Mill Domestic mill buyers inquired for a moderate volume of color 41, leaf 4 and better, and staple 34 and longer for January through September 2026 delivery. No sales were reported. The undertone from mill buyers remained cautious. Raw cotton demand was balanced with yarn orders. 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 31, leaf 3 and 4, staple 34-46, mike 37-49, strength 27-30, and uniformity 80-83 sold for around 69.00 cents per pound, FOB car/truck (Rule 5, compression charges paid). South Central Markets Regional Summary North Delta Spot cotton trading was slow. Trading of 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. Partly cloudy skies with light sunshine displayed favorable weather conditions during the reporting period in the Mid-South. Daytime highs were in the 80s. Nighttime lows were in the low 60s and 70s. Precipitation totals measured from trace amounts to around one inch of rain. Potential severe storms are expected to move through the region in the nearby forecast. Producers are hopeful for a change in next week�s weather predictions to help dry soggy stands. Local experts reported replanting in areas where fields were dry enough to support field equipment. Growers were optimistic about early-planted cotton and have anticipated that it will be more successful than late-planted cotton. According to the National Agricultural Statistics Service�s Crop Progress report released on June 2, cotton planted was at 85 percent in Arkansas, 96 in Missouri, and 81 percent in Tennessee. Cotton conditions were rated mostly fair to good for Arkansas, Missouri, and Tennessee. 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 very little interest in forward contracting. Intervals of sunshine and cloudiness early in the period brought stray showers to the region. Scattered thunderstorms were in the nearby forecast. Up to one-quarter of an inch of rainfall was received in some areas. Cool winds dropped daytime temperatures into the low 80s. Nighttime lows were in the 60s and 70s. No insect pressure was reported. The creek waters had begun to recede, which resulted in lower water levels. Producers were optimistic about the crop in the fields that have started to emerge. Competitive crops advanced as growers hoped for higher market prices for all commodities. Planting was finalized and progressed at a reasonable pace. Replanting varied due to spotty low-lying fields in some cotton growing territories. According to the National Agricultural Statistics Service�s Crop Progress report released on June 2, cotton planted was at 88 percent in Louisiana and at 54 percent in Mississippi. Cotton conditions were rated to be mostly fair to good for Louisiana and Mississippi. Trading North Delta � A light volume mixed lot containing color 21 and 31, leaf 2 and 3, staple 37 and 38, mike 36-46, strength 28-31, and uniformity 80-83 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 inactive. 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 Pakistan and Vietnam. In East Texas, stands progressed well under partly cloudy skies and scattered showers. Daytime high temperatures hovered in the low 90s throughout the week, with nighttime lows in the 70s. Reported rainfall accumulations in the region varied from one-quarter of an inch to over one and one-half inches of rain, with chances for heavy precipitation throughout the coming week. Producers finalized planting on May 31st to meet the final planting deadline for crop insurance. The earliest-planted fields were squaring. Due to persistent wet conditions, producers applied herbicides to battle weeds, as well as aerial applications of pesticides in the Brazos River Bottoms and Blackland Prairies. According to local sources, insect pressure from thrips should be treated and monitored. In South Texas, weather conditions were mostly sunny and partly cloudy with spurts of periodic rainfall. Daytime high temperatures were in the 90s. Nighttime low temperatures were in the upper 70s to the low 80s. Isolated showers resulted in rain totals ranging from trace amounts to over one and one-quarter inches of moisture, with multiple chances for more rain in the forecast. According to local experts, pesticide applications were ongoing, specifically for fleahoppers in fields at threshold levels. In the Upper Coast and Coastal Bend, stand development ranged from early bloom to setting bolls. In the lower Rio Grande Valley, the earliest-planted fields had mature bolls and later planted fields were in the flowering stage. West Texas-Kansas-Oklahoma Spot cotton trading was active. Supplies and producer offerings were light. Demand was light. Average local spot prices were steady. Producer interest in forward contracting was light. Trading of CCC-loan equities was inactive. Foreign mill inquiries were light. Interest was best from Pakistan and Vietnam. In Texas, a mix of rainy and cloudy conditions characterized the weather pattern with daytime temperatures in the upper 60s to upper 90s and overnight lows in the 40s to 60s. Thunderstorms with occasional wind gusts over 60 miles per hour produced blowing dust. A tornado in Dawson County caused overturned irrigation pivots and some damage to agricultural structures early in the period. Rain amounts measured up to two and one-half inches of beneficial precipitation across West Texas. Some locations around Big Spring and San Angelo missed recent rainfall and remained parched. Planting was finalized in the Northern High Plains, but continued at other locations as fields dried enough to support equipment. Abnormally cool and wet conditions caused some chilling injury to seedlings. Stands were slow to emerge. Weeds were becoming problematic. In Kansas, daytime temperatures were in the low 70s to mid-80s, and overnight lows were in the 40s to 60s. Planting was completed, and seedlings had emerged. A series of thunderstorms brought abundant rainfall and cooler temperatures that stifled growth and caused some damage to young plants. The nearby forecast contains more rainfall. A period of hot, dry weather is needed for stands to progress. In Oklahoma, sowing the remaining dryland fields was slowed by recent rainfall. Daytime temperatures in the low 80s to mid-90s, and overnight lows were in the 50s to 60s. Rainfall has been spotty, and more was in the forecast. Trading East Texas/South Texas � No trading activity was reported. West Texas, Kansas & Oklahoma � In Texas, lots containing a moderate volume of color 41 and better, leaf 6 and better, staple 34 and 35, mike 35-49, strength 28-32, and uniformity 78-81 sold for 61.25 to 63.24 cents per pound, FOB car/truck (compression charges not paid). � A mixed lot containing a heavy volume of color 43 and better, leaf 7 and better, staple 32-38, mike 32-50, strength 27-34, uniformity 77-82, and 25 percent extraneous matter traded for around 60.50 cents, same terms as above. � In Kansas, a mixed lot containing a light volume of color 51, 52, and 53, leaf 4 to 6, staple 34, mike 39-45, strength 28-31, uniformity 79-81, and 75 percent extraneous matter traded for around 55.50 cents, same terms as above. � In Oklahoma, an even-running lot containing a light volume of color 11 and 21, leaf 1 and 2, staple 36, mike 45-50, strength 29-32, and uniformity 80-83 sold for around 66.50 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. In Arizona, weather conditions throughout the period ranged from cloudy to clear and sunny. Daily temperatures were in the upper 90s and reached into the triple-digits by weeks end. Nighttime lows were in the 60s and 70s. A storm front at the beginning of the period brought welcomed rain showers to the territory, with some locales recording up to three-quarters of an inch of rain. In central Arizona, the crop was off to a slow start. Fields were replanted due to cooler temperatures that stunted seedling development in earliest-planted fields. No significant insect pressure was recorded. In Yuma, AZ, plants were squaring and blooming progressed. In El Paso, TX and New Mexico, skies were sunny to partly cloudy. Daytime highs ranged from the upper 80s to triple-digits. Nighttime lows ranged from the upper 50s to lower 70s. A storm system entered the area early week bringing a little over one-quarter of an inch of rain. Planting and fieldwork advanced. 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. In the SJV, clear and sunny skies were prevalent. Daily temperatures reached near record highs in the triple-digits at the beginning of the period and cooled to the low to mid-90s by the end of the week. Nighttime lows were in the 60s and 70s. No rainfall was recorded during the period. Fields were irrigated and scouted for pests. Producers reported that the crop is off to a good start. The Bureau of Reclamation announced an increase from 50 to 55 percent to the Central Valley Project water supply allocations for south-of-Delta contractors. 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. In the San Joaquin Valley, weather conditions were clear and sunny. Daily temperatures soared into the triple-digits. Nighttime lows were in the 60s and 70s. No rain was recorded during the period. The Bureau of Reclamation announced an increase from 50 to 55 percent to the Central Valley Project water supply allocations for south-of-Delta contractors. Fields were being irrigated and scouted for pest. In the Desert Southwest, daily temperatures reached into the 100s. Nightly lows were in the 60s and 70s. A storm front brought welcomed rain showers that measured up to three-quarters of an inch in some locales. In Arizona, the crop varied from emergence to blooming. In New Mexico and El Paso, TX, weather conditions were sunny to partly cloudy. Daytime highs reached into the 100s, with nightly lows in the 50s to lower 70s. Rain totals of one-quarter of an inch were recorded during the period. Planting and fieldwork advanced at a steady pace. Desert Southwest � No trading activity was reported. San Joaquin Valley � No trading activity was reported. American Pima � No trading activity was reported.