Cotton output in the U.S., the world’s largest exporter, may be limited next season as a La Nina weather pattern brings unusually dry conditions to the largest growing regions .
Cotton prices rose for the first time in four days on signs of strong demand for U.S. supplies. Orange juice declined, erasing earlier gains.
Cotton futures rose amid declining output in the U.S., the world’s biggest exporter. Cocoa and orange juice rose, while coffee fell.
Cotton futures in New York rose to a record for the fourth straight day as concerns mounted that global demand led by China, the world’s biggest user, will outstrip supplies and reduce inventories.
Cotton and sugar climbed as concerns eased that global demand for commodities may slump. Coffee also gained, while cocoa and orange juice declined.
Cotton futures rose to a one-week high on signs of global demand and limited supplies as the worst floods in Pakistan’s history have wiped out crops. Orange-juice prices were little changed.
Cotton futures extended a rally to record as a cold front threatened to damage the crop in China, the world’s biggest user.
Cotton futures rose the most in two weeks on speculation that the crop in the U.S., the world’s leading exporter, was smaller than the government’s forecast in March.
China is hoarding a record amount of cotton to aid farmers as global production exceeds demand for a fourth consecutive year, increasing the risk of a supply surge that would tip prices into a bear market.
"World supply is way too much compared with world demand."
- John Flanagan on Jul 02, 2014