Softs Report 03/18/2026

COTTON
General Comments: Cotton was higher yesterday as the war with Iran continues, Crude Oil was higher again. The market is also concerned about the weather that has been hot and dry so far in US Cotton areas. Much of the demand for Cotton comes from the Middle East and Southeast Asia and the costs of production have increased dramatically because of the war. Overseas production in places like India and Brazil are expected to be high, but overall world production is expected by USDA to fall on reduced global planted rea and reduced yields. Trends are up on the daily charts.
Overnight News: ICE said that 0 notices were posted for delivery against March futures and that total deliveries for the month are now 630 contracts.
Chart Trends: Trends in Cotton are up. Support is at 67.10, 66.40, and 65.00 May, with resistance of 69.40, 70.00 and 70.60 May.

FCOJ
General Comments: Futures were lower yesterday but held the recent trading range. Prices are now at the bottom end of the short term range. The Florida harvest is active but starting to wrap up and the weather remains benign for harvest progress as conditions are mostly dry. The weather for the next crop is dry but seasonal. Chart trends are mixed or up on the daily charts. The weather is considered good for production in Brazil and Mexico. Scattered showers are still reported in Brazil.
Overnight News: ICE said that 0 notices were posted for delivery against March futures and that total deliveries for the month are now 0 contracts.
Chart Trends: Trends in FCOJ are mixed. Support is at 190.00, 180.00, and 171.00 May, with resistance at 202.00, 207.00, and 222.00 May.

COFFEE
General Comments: New York and London were higher yesterday, with New York trends trying to turn up but London trends remaining down. There are still ideas of good supplies available to the market. Brazil said last week that that exports dropped significantly in February and exports might not improve that much in March due to shipping costs and concerns. Vietnam producers have pulled back from selling as they have already sold quite a bit. There are reports of very good conditions in Brazil and a large crop is forecast. Brazil producers have stopped selling due to the recent fall in prices. World production conditions are generally good. Scattered showers are being reported now to improve tree condition in Brazil. Mexico is in good condition, as is Central America. Vietnam has scattered showers lately and conditions there are called good.
Overnight News: The ICO average price is 271.89 ct/lb. ICE NY said that 13 notices were posted for delivery against March futures and that total deliveries for the month are now 1,093 contracts.
Chart Trends: Trends in New York are mixed. Support is at 290.00, 282.00, and 276.00 May, and resistance is at 315.00, 325.00 and 333.00 May. Trends in London are down. Support is at 3400, 3340, and 3280 May, with resistance at 3550, 3630, and 4690 May.

SUGAR
General Comments: New York and London were higher in reaction to strength in petroleum futures. The war has increased world petroleum prices and could divert demand from Sugar production to production of ethanol/ President Ttrump has called for a quick end to the war but no one seems to agree with him that a quick end is coming. Trends are mixed on the daily charts in both markets. There are good supplies for the market from good growing conditions for cane and beets around the world. The prospect of a big global surplus in the 2025/26 season was keeping the market on the defensive but a rise in production in India and Thailand being offset by the war.
Overnight News:
Chart Trends: Trends in New York are mixed. Support is at 1410, 1360, and 1330 May and resistance is at 1470, 1480, and 1490 May. Trends in London are mixed. Support is at 416.00, 402.00, and 391.00 May, with resistance at 428.00, 430.00, and 436.00 May.

COCOA
General Comments: New York and London closed lower in range trading yesterday. Short term trends are mixed in both markets. A big main crop harvest has arrived in West Africa and rains have been positive for the next crop. There are still reports of increased production potential in other countries outside of West Africa, including Asia and Central America. The market feels that there is less demand due to the high prices seen last year and the lack of demand is expected to continue. Weak demand has led to a build-up on unsold supplies in both Ivory Coast and Ghana, while the prospect of another global surplus in 2026/27 are real. Cocoa demand has fallen sharply after prices nearly tripled in 2024, prompting chocolate makers to reformulate ingredients and shrink the size of their bars.
Overnight News:
Chart Trends: Trends in New York are mixed. Support is at 2740, 2620, and 2500 May, with resistance at 3860, 4330, and 4400 May. Trends in London are down. Support is at 2000, 1940, and 1880 May, with resistance at 2670, 2970, and 3050 May.

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