Markets will look for more clarity this week after disappointing Trump-Xi meetings and heavy liquidation across commodities late last week.
• Outside markets will remain a major driver for cotton this week. Firmer inflation data, higher Treasury yields, and a stronger U.S. dollar pressured risk appetite late last week, while crude oil continues to find support and remains important for the broader commodity space and polyester economics.
Market Movement from 11th May 2026 to 16th May 2026.
• NY futures witnessed a bloodbath during the week, with extreme volatility dominating the market. Prices traded in a wide range, touching a low of 79.94 cents and a high of 88.88 cents, reflecting nearly a 9-cent fluctuation during the week.
Government of India has increased the Minimum Support Price of Medium Staple Cotton from 7,710 to 8,267 and Long Staple Cotton from 8,110 to 8,667 for season 2026-27.
The first forecast of the 2026/27 U.S. cotton balance sheet shows lower production and ending stocks, and higher exports and beginning stocks compared to 2025/26, with consumption unchanged. Planted area is projected at 9.64 million acres based on the March 31 Prospective Plantings report.
Macro headlines are expected to drive the market this week, with talks involving Iran back in focus, a meeting with China on deck, and a busy slate of economic and fundamental data ahead.