Cotton prices rose by almost 25% during the first quarter to around 92 cents per lb in mid-March. Prices then fell back to 81 cents per lb towards the end of April but have since staged a brief rally to 86 cents per lb by mid-May.
What are the next few months likely to bring?
A review of seasonal moves in cotton prices shows they tend to peak in March before prices then bottom out in August. For textile producers looking to secure material this suggests waiting until nearer the end of summer as possible.
Related article: Will China’s leadership change see cotton price slump?
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