Investing.com – Cotton futures climbed to a two-week high on Wednesday, after government data showed that U.S. crop conditions deteriorated last week, while ongoing fears over a disruption to supplies in Pakistan provided further support.
On the ICE Futures U.S. Exchange, cotton futures for October delivery traded at USD1.0731 a pound during European morning trade, gaining 0.88%.
It earlier rose as much as 1.1% to trade at USD1.0773 a pound, the highest price August 24.
The U.S. Department of Agriculture said in its weekly crop progress report published after markets closed Tuesday that 44% of U.S. cotton crops were rated in ‘poor’ to ‘very poor’ condition as of September 4, up from 41% in previous week and significantly higher than the 12% registered in the same week a year earlier.
U.S. crops rated ‘good’ to ‘excellent’ fell to 28% from 30% a week earlier. Nearly 60% of U.S. crops were in ‘good’ to ‘excellent’ condition in the same week a year earlier.
In Texas, the largest cotton-growing state in the U.S., nearly 63% of cotton crops were rated ‘poor’ to ‘very poor’, while zero were in ‘excellent’ condition, as the state continued to suffer from severe drought conditions.
Cotton crop conditions in Virginia deteriorated sharply last week, with crops rated ‘good’ to ‘excellent’ plunging to 40% from 90% in the preceding week, as damage caused by Hurricane Irene weighed heavily.
The U.S. is the world’s third largest cotton producer and the biggest exporter of the fiber.
In Pakistan, the world’s fourth largest grower, the Pakistan Textile Mills Association said heavy rainfall in the Sindh and Punjab regions, key cotton-growing areas, may have damaged as much as 2.0 million bales of cotton.
Pakistan’s cotton harvest in the 2010-11 marketing season totaled 8.8 million bales, down 8.3% from the previous marketing season, as the nation’s worst flood on record reduced output.
Elsewhere, on the Chicago Mercantile Exchange, wheat for December delivery rose 0.79% to trade at USD7.6525 a bushel, corn for December delivery advanced 0.89% to trade at USD7.6188 a bushel, while soybeans for November delivery added 0.81% to trade at USD14.3088 a bushel.
On the ICE Futures U.S. Exchange, cotton futures for October delivery traded at USD1.0731 a pound during European morning trade, gaining 0.88%.
It earlier rose as much as 1.1% to trade at USD1.0773 a pound, the highest price August 24.
The U.S. Department of Agriculture said in its weekly crop progress report published after markets closed Tuesday that 44% of U.S. cotton crops were rated in ‘poor’ to ‘very poor’ condition as of September 4, up from 41% in previous week and significantly higher than the 12% registered in the same week a year earlier.
U.S. crops rated ‘good’ to ‘excellent’ fell to 28% from 30% a week earlier. Nearly 60% of U.S. crops were in ‘good’ to ‘excellent’ condition in the same week a year earlier.
In Texas, the largest cotton-growing state in the U.S., nearly 63% of cotton crops were rated ‘poor’ to ‘very poor’, while zero were in ‘excellent’ condition, as the state continued to suffer from severe drought conditions.
Cotton crop conditions in Virginia deteriorated sharply last week, with crops rated ‘good’ to ‘excellent’ plunging to 40% from 90% in the preceding week, as damage caused by Hurricane Irene weighed heavily.
The U.S. is the world’s third largest cotton producer and the biggest exporter of the fiber.
In Pakistan, the world’s fourth largest grower, the Pakistan Textile Mills Association said heavy rainfall in the Sindh and Punjab regions, key cotton-growing areas, may have damaged as much as 2.0 million bales of cotton.
Pakistan’s cotton harvest in the 2010-11 marketing season totaled 8.8 million bales, down 8.3% from the previous marketing season, as the nation’s worst flood on record reduced output.
Elsewhere, on the Chicago Mercantile Exchange, wheat for December delivery rose 0.79% to trade at USD7.6525 a bushel, corn for December delivery advanced 0.89% to trade at USD7.6188 a bushel, while soybeans for November delivery added 0.81% to trade at USD14.3088 a bushel.