US cotton futures up on unexpected crop loss.

US cotton December futures on ICE were up 0.8% at 68.79 cents a pound after USDA showed more than expected crop damage due to dry weather. US cotton crop is rated good or excellent, in line with the three-year average, but down by 5 points week on week. The decline reflected drops in major cotton growing regions. There are reports of significant crop losses in areas of southern high Plains and northern low Plains of Texas. Texas is a major cotton producing state of US. India is the largest producer of the cotton in the world and US is one of the suppliers of cotton to the former.