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June Cotton Prices Spike, then Settle

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After jumping in the middle of the month, cotton prices ended June pretty much where they started.
The 7-market average U.S. spot price was 67.5 cents on June 29, virtually unchanged from the end of May.
The stabilization in cotton prices has helped reduce cost pressure on apparel makers, particularly in hard hit categories like denim and underwear.
Sales of jeans have been soft so far this year. Although some of this was fashion-driven, it was has also been partly due to the impact that last year’s cotton spike had on wholesale prices and gross margins.

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