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Textiles
ICE cotton advances on US weather concerns, grain market rally
07 Jul '26
4 min read
shutterstock.com
Insights
ICE cotton futures rose over 1.5 per cent, supported by US weather concerns and a rally in CBOT grain markets, marking the fourth gain in five sessions.
Limited rainfall in US cotton areas and delayed crop development in India underpinned sentiment, while USDA lowered the US cotton crop's good-to-excellent rating.
Trading volumes remained light despite the price rally.
ICE cotton futures gained yesterday due to fresh weather concerns in the US and stronger grain markets. US cotton has recorded four higher closes in the last five trading sessions. Cotton-growing areas in the US witnessed scattered rainfall, but it was not enough to significantly improve soil moisture.
The most active December 2026 contract settled at 78.38 cents, up 1.18 cents or 1.53 per cent. The contract reached an intraday high of 78.65 cents per pound in the afternoon before the last trade at 78.57 cents, with buying supported by a strong rally in agricultural commodities. Other contracts finished with gains ranging from 48 to 138 points.
ICE cotton futures rose over 1.5 per cent, supported by US weather concerns and a rally in CBOT grain markets, marking the fourth gain in five sessions.
Limited rainfall in US cotton areas and delayed crop development in India underpinned sentiment, while USDA lowered the US cotton crop's good-to-excellent rating.
Trading volumes remained light despite the price rally.
The main driver behind the advance was short-term weather concerns in the US, combined with sharp gains in CBOT grain futures, while cotton-specific news remained limited.
Market analysts said cotton prices were supported by weather concerns and strength in CBOT grains. Scattered ra