Dow Jones industrials swung wildly. U.S. upland classing of 427,966 RB last week brought the total for the season to 17.889 million RB, about 89% of the projected crop. Drought continued to intensify in Texas.

Cotton futures slipped to a new low for the move Monday as fears of rising inflation and higher government bond yields hammered U.S. stock indexes and pressured most commodities.

March settled down 73 points to 76.57 cents, just above last week’s low and its lowest close since Dec. 20. It finished near the low of its 146-point range from up 61 points at 77.91 to down 85 points at 76.45 cents.

May closed down 71 points to 77.90 cents, just off the low of its 134-point range from 79.20 to 77.86 cents, and July finished down 62 points at 78.84 cents. New-crop December dipped 33 points to 74.75 cents.

The Dow Jones Industrial Average swung wildly, erasing gains for the year. Crude oil extended declines after U.S. drilling rigs rose to the most since August.

Volume dipped to an estimated 60,600 lots from 69,253 lots the prior session when spreads accounted for 45,558 lots or 66%, EFS 3101 lots, block trades 2,000 lots and EFP 346 lots. Options volume dropped to 5,872 lots (2,412 calls and 3,460 puts) from 6,024 lots (1,945 calls and 4,079 puts).

On the U.S. crop scene, upland classing slowed to 427,966 running bales during the week ended Thursday from 572,005 million the prior week, figures reported by USDA’s Agricultural Marketing Service showed Friday.

The total for the season rose to 17.889 million RB, up 17% from 15.347 million RB graded a year ago and roughly 89% of USDA’s projected upland production. A year ago, classing totaled approximately 95% of the final output.

Tenderable cotton at 48.8% for the week and 69.3% for the season was down from 59.4% and 70.4% a year ago. In Texas, where classing of 296,981 RB brought the total for the season to 8.144 million RB, cotton meeting tenderable requirements was 37.2% and 54.1%, respectively.

Concerns have grown about low micronaire in Texas. Micronaire is a measure of fiber fineness or maturity and also can mean lower boll weights. Readings in the discount ranges from 3.4 and lower totaled 54.2% for the week and 34.9% for the season.

Around 88% of the projected record Texas upland production has been classed, up about 11% from 7.348 million RB graded a year ago and about 88% of the record projected Texas crop. About half the gins on the High Plains have completed operations for the season.

Drought has continued to intensify in Texas. The Drought Monitor Map as of Feb. 1 showed 86.73% of the state with abnormally dry conditions, 56.47% with moderate drought, 21.98% with severe drought, 7.3% with severe drought and 13.27% with no drought.

Classing of Pima slowed to 18,215 RB from 23,493 the prior week, boosting the extra-long staple count for the season to 611,284 RB and the all-cotton total to 18.5 million RB. The AMS a year ago had classed 15.843 million RB of upland and Pima combined.

Futures open interest declined 3,167 lots to 299,909 on Friday, with March’s down 10,016 lots to 113,225 and May’s up 2,553 lots to 95,203. Certificated stocks grew 4,674 bales to 72,646. The additions were at Memphis, where 700 bales awaited review.