Softs Report 07/06/2026

COTTON
General Comments: Cotton was higher again yesterday on follow through buying in response to the USDA reports. USDA said that planted area is estimated at 9.85 million acres. USDA showed that condition is still well behind year ago levels, with some areas showing improvement and other areas showing deterioration with the crop in thew squaring phase. Progress is about average, with bolls starting to be set and squaring proceeding at a normal pace. Forecasts and reports of scattered showers in Cotton areas continue for Texas, the Delts, and the Southeast. Temperatures will be variable to warm. Trends are down on the daily and weekly charts.
Overnight News: ICE said that 56 contracts were posted for delivery against July futures and that total deliveries for the month are now 617 contracts.
Chart Trends: Trends in Cotton are mixed. Support is at 75.10, 74.50, and 73.10 December, with resistance of 79.20, 80.40 and 81.60 December.

FCOJ5
General Comments: Futures were higher again yesterday in recovery trading but trends are still down on the daily and weekly charts. It is still dry in Florida. The weather for the next crop is dry but seasonal and some rains are now being reported. The weather is considered good for production in Mexico but it is dry in Brazil. Scattered showers are still reported in eastern Brazil but many areas are drying out seasonally.
Overnight News: ICE said that 0 notices were posted for delivery against July futures and that total deliveries for the moth are now 0 contracts.
Chart Trends: Trends in FCOJ are mixed to up. Support is at 130.00, 124.00, and 118.00 July, with resistance at 178,00 184.00, and 190.00 July.

COFFEE
General Comments: Both markets were sharply higher yesterday. The harvest delays in both Brazil and Vietnam continue. The next crop is developing well in South America and Asia amid good conditions, but the rain seen lately have pushed the harvest progress behind year ago levels. World production conditions are generally good. Mostly dry conditions are being reported in Brazil. Mexico is in good condition, as Central America. Vietnam has had some showers but producers are not selling and are waiting for a move higher in prices.
Overnight News: The ICO average price is 279.09 ct/lb. ICE NY said that 167 notices were posted for delivery against July contracts today and that total deliveries for the month are now 194 contracts.
Chart Trends: Trends in New York are up. Support is at 298.00, 284.00, and 275.00 September, and resistance is at 318.00, 322.00 and 328.00 September. Trends in London are mixed to up. Support is at 3620, 3520, and 3470 September, with resistance at 3800, 3920, and 3980 September.

SUGAR
General Comments: Both markets were higher yesterday as transit through the strait of Hormuz remains difficult at best and as drought in Europe becomes an increasing concern. The hot and dr weather is threatening Sugaarbeets production. The Iran war has been paused as both sides signing a memorandum of understanding and continuing negotiations in Geneva. Trends are up 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. Drier weather in parts of Brazil and India have been good for the harvest.
Overnight News:
Chart Trends: Trends in New York are up. Support is at 1345, 1370, and 130 October and resistance is 1540, 1560, and 1590 October. Trends in London are mixed. Support is at 457.00, 454.00, and 448.00 October, with resistance at 478.00, 484.00, and 490.00 October.

COCOA
General Comments: Both markets closed mostly a little higher yesterday even though Ivory Coast arrivals remain large. Daily trends are mixed. 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. Ivory Coast arrivals now total 1.910 million tons, up 18.4% from last year.
Overnight News: ICE NY said that 0 notices were posted for delivery against July futures and that total deliveries for the month are now 359 contracts.
Chart Trends: Trends in New York are mixed. Support is at 4400, 4190, and 3960 September, with resistance at 5360, 5420, and 5660 September. Trends in London are mixed. Support is at 3260, 3140, and 3090 September, with resistance at 4080, 4200, and 4350 September.

Questions? Ask Jack Scoville today at 312-264-4322