Cotton Is Piling Up At Warehouses Around The World

There’s enough cotton sitting in global warehouses to make more than 127 billion T-shirts, or 17 for each person on the planet. That’s bad news for investors betting prices will rise. World inventories at the end of this season will be the second-largest ever, just slightly less than last year’s record, according to a U.S Department of Agriculture forecast last week. That’s a signal that supplies will remain ample even after the agency cut its outlook for production. Hedge funds raised their bullish cotton bets to the highest in more than a year, only to face the first weekly price drop since early November. Read more at Bloomberg.