# Cotton Futures Move Higher Despite Increased U.S. Production Forecasts

- URL: https://stocks.freetheai.org/news/cotton-futures-move-higher-despite-increased-u-s-production-forecasts-53d5ac
- Published: 2026-10-09T22:11:57Z
- Category: commodities; sentiment: bullish; impact: medium
- Symbols: [ICEUS:CT1!](https://stocks.freetheai.org/symbols/ICEUS-CT1!)
- Written by our AI from expert market sources across the web for FreeTheAI Stocks, built by Vibhek Soni
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Cotton No. 2 Futures (ICEUS:CT1!) closed higher heading into the weekend, with the December contract rising 60 points to 80.54 cents per pound. Gains occurred across deferred contracts as well, with March futures adding 56 points to reach 83.59 cents per pound. The price increases coincided with broader market support from rising crude oil prices and a slight gain in the U.S. dollar index.

Prices moved upward despite updated forecasts pointing to larger domestic supply. Crop estimates raised expected yields by 14 pounds per acre to 790 pounds, boosting total projected U.S. production by 240,000 bales to 13.44 million bales. Domestic ending stocks were also revised higher by 200,000 bales to 3.8 million bales, while recent ginnings data showed 487,900 running bales processed during the final two weeks of September. Meanwhile, speculative fund managers reduced their net long exposure by 10,756 contracts during the week ending October 6, leaving their net position at 63,837 contracts.

Traders are closely watching harvest progress across the Southeastern U.S., where heavy rainfall from Hurricane Isaias is projected to bring two to five inches of precipitation from the Mississippi River to the Atlantic coast. Weather disruptions during active harvesting could slow field work and influence near-term spot supply across physical trading markets.

## Key points

- December Cotton No. 2 Futures (ICEUS:CT1!) closed up 60 points at 80.54 cents per pound.
- U.S. production estimates increased by 240,000 bales to 13.44 million bales on higher yield projections.
- Domestic ending stocks were revised upward by 200,000 bales to 3.8 million bales.
- Upcoming harvest operations in the Southeast face potential delays from heavy rainfall caused by Hurricane Isaias.
- Speculative fund managers trimmed their net long position by 10,756 contracts to 63,837 contracts.

## Questions and answers

### Why did cotton futures rise despite higher production estimates?

Cotton futures gained ground as anticipated weather disruptions from Hurricane Isaias across the Southeastern region created harvest concerns, overriding higher domestic production and inventory forecasts.

### What are the latest U.S. cotton crop production estimates?

Official estimates increased average yields by 14 pounds per acre to 790 pounds, bringing total projected U.S. cotton production to 13.44 million bales and ending stocks to 3.8 million bales.

### How could Hurricane Isaias impact the cotton market?

Rainfall of 2 to 5 inches across major Southeastern growing areas from the Mississippi River to the Atlantic coast threatens to slow harvesting activity during the active fall gathering period.