NEW YORK, Oct 15 – Cotton prices reached an all-time peak on Friday as inventories dropped amid growing demand in Asia.
In New York, ICE December cotton futures touched 1.1980 dollars a pound, exceeding the previous record set in 1995.
"Continued robust Asian demand — and Chinese import demand in particular — coupled with supply-side problems and the marked decline in stocks has underpinned the rally," said Barclays Capital analyst Sudakshina Unnikrishnan.
Cotton prices have pushed up in recent months, impacted by a drop in production in Pakistan following devastating floods and a severe monsoon season in India. The two countries are among the world\’s largest cotton producers.