Softs Report 07/09/2025

COTTON
General Comments: Cotton was lower yesterday on weaker Crude Oil futures as export hopes remain less and as growing conditions are generally good. here are still reports of better weather in Texas and into the Southeast and demand concerns caused by the tariff wars are still around. Condition is rated behind last year. The monsoon in India is off to a good start and a good production there is possible.
Overnight News: The USDA average price is now 67.39 ct/lb. ICE said that 0 contracts were posted for delivery against July futures and that total deliveries for the month are now 226 contracts.
Chart Trends: Trends in Cotton are mixed. Support is at 67.00, 66.20, and 64.30 December, with resistance of 69.90, 70.50 and 70.90 December.

FCOJ
General Comments: Futures were sharply higher yesterday. Trends are turning up. Development conditions are good in Florida now with daily rounds of showers. The poor production potential for the crops comes from weather but also the greening disease that has caused many Florida producers to lose trees. The weather so far this year is improved with scattered showers adding to soil moisture and helping with tree health.
Overnight News: ICE said that 150 notices were posted for delivery against July futures and that total deliveries for the month are now 200 contracts.
Chart Trends: Trends in FCOJ are up. Support is at 230.00, 222.00, and 207.00 September, with resistance at 258.00, 273.00, and 288.00 September.

COFFEE
General Comments: Both markets closed higher yesterday on ideas that futures were oversold. Prices have now been dropping for several weeks and are much more moderate than before as supplies available to the market have ticked up. The Brazil Robusta harvest continues, and Indonesia continues to harvest. Vietnam is done with its harvest and domestic price were firm last week. The Brazil Arabica harvest is starting to expand and is expected to be less this year as news reports indicate that many cherries have fallen from the trees. Vietnam exported 943,000 tons of coffee in the January-June period, up 4.1% from the same period last year Brazil exported 133,863 tons of green coffee in June, down 34% from the 203,278 tons in the same month last year.
Overnight News: The ICO average price is 257.85 ct/lb. ICE NY said that 68 notices were posted for delivery against July futures and that total deliveries for the month are now 171 contracts.
Chart Trends: Trends in New York are down. Support is at 276.00, 270.00, and 264.00 September, and resistance is at 294.00, 302.00 and 328.00 September. Trends in London are mixed to down. Support is at 3460, 3380, and 3320 September, with resistance at 3750, 3960, and 4130 September.

SUGAR
General Comments: Both markets were lower yesterday as the weather remains generally good around the world for crops. Ideas of good supplies for the market continue and have been responsible for the recent price weakness. The South Center Brazil harvest is faster now amid drier conditions. Production in Centre-South Brazil has also been stronger than expected in recent weeks. Good growing conditions are reported in India and Thailand after a fast start to the Monsoon season. Good rains are still reported in Thailand. Sugar prices in Brazil are now cheap enough that at least some refiners could increase ethanol production and cut back on Sugar production. Sugarcane used to produce sugar in the Center-South region of Brazil rose to 51.5% in the first half of June, up from 49.7% a year earlier. Brazil exported 3.36 million tons of sugar in June, up 5.2% from the 3.19 million tons in the same month last year.
Overnight News:
Chart Trends: Trends in New York are mixed. Support is at 1540, 1500, and 1440 October and resistance is at 1650, 1680, and 1700 October. Trends in London are mixed. Support is at 446.00, 440.00, and 434.00 October, with resistance at 475.00, 480.00, and 486.00 October.

COCOA
General Comments: New York and London were lower yesterday. There are still reports of increased production potential in other countries outside of West Africa, including Asia and Central America. The market anticipates good demand and less production from Ivory Coast and Ghana. Adequate soil moisture in Ivory Coast is fostering abundant flowering on trees, signaling a healthy October-to-March main crop despite mainly below-average rain in most of the main growing regions last week. Good soil moisture in most of Ivory Coast’s cocoa-growing regions is encouraging strong flowering for the coming October-to-March main crop despite below-average rainfall last week.
Overnight News: ICE NY said that 0 contracts were tendered against July futures and that total deliveries for the month are now 749 contracts.
Chart Trends: Trends in New York are down. Support is at 7780, 7640, and 7520 July, with resistance at 8900, 9290, and 9450 July. Trends in London are down. Support is at 5200, 5080, and 4960 July, with resistance at 6000, 6160, and 6480 July.

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