Recent expansion of exceptional (D4) drought has been concentrated in the western U.S., with degradations noted in northeastern Idaho, portions of Utah, and southern California deserts as of the August 25, 2026 U.S. Drought Monitor map, amid persistent heat, low soil moisture, and limited monsoon relief in some basins. Nationally, D4 covers about 1.5% of the U.S., while the South and Southern Plains saw rapid D2–D3 intensification from dry, hot conditions; the Colorado River Basin remains stressed with critically low reservoir levels. The U.S. Drought Monitor, produced jointly by NDMC, NOAA, USDA, and NASA, updates weekly on Thursdays using station data, satellite observations, and impacts. Traders should watch the September 3 release and early-September precipitation/temperature outlooks from NOAA’s Climate Prediction Center, as additional dry spells or monsoon surges could shift D4 boundaries before the September 8 map period.