The Macquarie group stated in a report that farmers in the U.S., the globe's top exporter of the soft commodity, are set to sow 9.4 million acres of the fiber this year as compared to sowing 12.3 million acres last year. The consultancy noted farmers' interests are moving toward crops that are considered more profitable.
"The Macquarie estimate is another signal along the story that producing countries are decreasing plantings," trader Chris McGowan with Newedge Group in New York told the news source on Tuesday.
At 11:47 a.m. on Tuesday, cotton futures gained 0.28 percent, a 0.0024 cent gain to 0.865 per pound.
Investing.com reports Tuesday's climb represents the soft fiber's most recent of notable gains during the past several weeks, attributing the upward drive to increasing demand from the Asian nation and preoccupations about generation from the U.S.
The record price for cotton futures in $2.197 per pound as established on March 7, 2011.
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