By Keith Brown, DTN Contributing Cotton Analyst 

Bowing to the influence of outside markets, and sensing the rain in West Texas is increasing, the cotton market finished slightly lower today. Ongoing adverse weather unfolding across the Southeast is helping to buoy prices. To that end, plantings in some areas of South Georgia have come to an abrupt halt.

The weather outlook for the Southeast continues to favor hot-and dry conditions, while Texas stands to see improved chances for rain. Still, there is a varying difference between the rain perception on the maps versus talking directly to growers. Several Texas producers have indicated to us their rain amounts have been erratic.

July cotton is preparing for its option expiration, which happens in 17 days. Afterwards, July’s delivery commences on June 24. The day before, June 23, is the last opportunity for traders and hedgers to exit to avoid the perils of the delivery process. Current open interest for spot July stands at a little north of 79,000 contracts.

Traders are waiting for Thursday’s export sales. The report is out at 8:30 a.m. EDT. Last week saw double-digit sales numbers and a decent shipment number. China was the lead buyer.

Tuesday, July cotton closed at 82.71, -11, December settled at 83.09, down 20, and March (2022) ended at 83.02, down 10 points. Today’s estimated volume was 24,587 contracts.