0954 ET - Cotton futures on the ICE are benefiting from a short-covering rally early in the day, with support coming from Gap Inc. earnings last week--in which the company said that it plans to double its consumption of U.S. cotton by next year. The sign of increased demand is giving cotton a boost, with the most-active contract up 2% to 66.32 cents a pound. But Gap's declaration of using more U.S. cotton comes as prices for cotton have been range-bound in historically-low levels between 60-70 cents a pound--levels last seen in 2020. The USDA has forecast that farmers are planting 9.87 million acres of cotton this growing season, down 12% from the previous year. (kirk.maltais@wsj.com)
(END) Dow Jones Newswires
June 02, 2025 09:54 ET (13:54 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.