Investing.com - U.S. cotton regained strength on Thursday, as ongoing concerns over tightening nearby supplies in the U.S., the world''s top exporter, boosted prices.
On the ICE Futures U.S. Exchange, U.S. cotton futures for May delivery rose to a session high of $0.9391 a pound earlier, before trimming gains to last trade at $0.9342 a pound during U.S. morning hours, up 1.92%, or 1.76 cents.
The May cotton contract surged to $0.9735 a pound on Wednesday, the most since February 3, before turning lower to settle at 0.9166, down 2.6%, or 2.45 cents.
Prices of the fiber have been well-supported in recent weeks amid speculation tightening global supplies will fall short of demand.
According to the U.S. Department of Agriculture, the U.S. produced 12.87 million 480-pound bales of cotton in 2013, 2.4% below an estimate of 13.2 million bales released earlier this month.
Elsewhere, U.S. sugar futures for May delivery jumped 1.21% to trade at a two-week high of $0.1762 a pound, as investors continued to monitor weather and crop conditions in top grower Brazil.
The May sugar contract rallied 2.3% to settle at $0.1736 a pound on Wednesday.
Sugar rallied to a four-month high of $0.1846 a pound on March 6, amid speculation dry weather in Brazil will cut this year’s cane crop.
Brazil is the world''s largest sugar producer and exporter, with the U.S. Department of Agriculture estimating the nation accounts for nearly 20% of global production and 39% of global sugar exports.
Meanwhile, Arabica coffee for May delivery advanced 0.8%, or 1.4 cents, to trade at $1.7653 a pound. Coffee prices inched up 0.4%, or 0.7 cents, on Wednesday to settle at $1.7600 a pound.
The May Arabica contract plunged 13.6% last week after weather forecasts predicted much-needed rainfall in Brazil’s main coffee-growing regions.
Arabica prices hit a two-year high of $2.0975 a pound on March 12 as drought conditions in key coffee-growing regions in Brazil was expected to curb output.
Brazil is the world''s largest producer and exporter of Arabica coffee.
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