If you don’t think the futures market drives prices look at what happened in India today. They banned the export of cotton. That immediately drove up the Cotton Futures. The remaining cotton markets just got richer today because their cotton became more valuable since there’s less of it in the world for sale. There are already a lot of $200 and up pair of jeans on the market like True Religion. Watch the price top $400 a pair in the next couple of months. Until Iran is tamped down for good expect fuel price fluctuations.
Lol. A few years ago, India started a rice crisis. They made it illegal for most Indian rice to leave the country. In October 2007, they blocked exports of all non-Basmati rice. Thus turning a rice surplus into a rice crisis. Idiots.
That is merely a statement of the simplest textbook example of supply and demand economics possible.
If you don’t think the futures market drives prices look at what happened in India today. They banned the export of cotton.