DTN Closing Cotton            04/13 13:35

   Cotton Trades Both Sides Amid Middle East Conflict

   The cotton market traded both sides of its Friday settlement, as traders 
squared positions for a possible renewal of the U.S. and Israel-Iran conflict.

Keith Brown
DTN Contributing Cotton Analyst

   The cotton market traded both sides of its Friday settlement, as traders 
squared positions for a possible renewal of the U.S. and Israel-Iran conflict. 
The U.S. is currently closing the Strait of Hormuz, which will likely upend oil 
shipments to China and most of Asia. Potentially, that naval action is putting 
the Trump/Xi trade talks in jeopardy.

   This afternoon at 4 p.m. EDT, USDA will issue its weekly Crop Progress 
report. Last notification indicated that the 2026 cotton crop was about 3% 
planted. Although the March Intentions report did show a year-over-year 
increase, some 95% of the U.S. planted area is suffering from drought 
conditions of varying degrees.

   This Thursday, traders will see a new round of export sales from USDA. Last 
week's data showed net weekly sales were 319,000 bales, down 14%, while 
shipments were 342,000 bales off 4%.

   First notice day for the May contract is April 24. Its delivery period runs 
through May 6.

   Also, on Thursday and this Friday, traders will see fresh retail sales data 
and updated housing starts numbers. Both of those reports reflect a large 
portion of domestic demand for the cotton industry.

   For Monday, July closed at 76.63 cents, up 130 points; December 2026 closed 
at 77.81 cents, plus 92 points; and March 2027 finished at 78.59 cents, 92 
points higher. Monday's estimated volume was 120,644 contracts.

   Keith Brown can be reached at commodityconsults@gmail.com




(c) Copyright 2026 DTN, LLC. All rights reserved.