The USDA’s September WASDE report brought little to no change for the U.S. cotton balance sheet. 

The production estimate was raised slightly to 13.22 million bales due to marginally higher harvested acreage offsetting a slight yield reduction. 

The 2025/26 ending stocks estimate was unchanged at 3.6 million bales, leaving the stocks-to-use ratio at 26.3 percent. 

The global ending stocks estimate was lowered to 73.1 million bales, due to an 800,000-bale reduction. That was due to an increase in China’s production during the previous marketing year. 

Global ending stocks are expected to be the lowest in four years after initially being projected higher than last year in the August report. 

December cotton futures have been drifting higher this week, rising as high as 67.10 cents on Wednesday. Futures closed higher on Friday for the fifth consecutive session, ending the week 1.2 percent higher at 66.80 cents a pound.

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