Cotton futures retreated from triple-digit overnight gains to finish little changed to higher Tuesday after talk of U.S. export inquiries over the weekend had contributed to early support.
Spot July eased off seven points to settle at 81.42 cents, just off the low of its 160-point range from up 144 points at 82.93 cents to down 16 points at 81.33 cents.
December, which had finished Friday with an outside-range weekly reversal to the downside, edged up 17 points to close at 83.94 cents after trading from up 114 points at 84.91 to flat at 83.77 cents.
Volume dipped to an estimated 23,400 lots from 24,279 lots the previous session when spreads totaled 10,842 lots or 45% and EFP 403 lots. Options volume totaled 3,382 calls and 2,663 puts.
Planting advanced at a rapid pace during the week ended May 23 in the Southeast, according to a review by the cotton division of USDAΆs Agricultural Marketing Service.
Mostly clear skies and temperatures in the low to high 80s prevailed in South Alabama, Georgia and the Florida Panhandle. Wet conditions delayed planting in North Alabama. The Carolinas and Virginia experienced intermittent showers but fieldwork continued. Sunny, warm weather helped improve seedling vigor, and replanting was limited.
Some around-the-clock planting too place in the Delta before severe thunderstorms late in the period dumped heavy unwelcomed rain. Flooded fields originally slated for cotton may have to be planted to soybeans in the North Delta unless the water recedes and soils firm before the planting window for cotton closes the first week in June. Some fields in the South Delta may be flooded for weeks because of rising rivers.
The Texas crop advanced in the Blackland Prairies, Upper Coast and Winter Garden where fields had adequate moisture. Some gins in the West Texas Plains decided to postpone operations during the 2013-crop season because of reduced plantings and the ongoing drought.
Temperatures in the high 90s to low 100s in Arizona helped advance early plant development. Fields varied from emerged to initial squaring. Some replanting was underway in western Arizona because of damage from high winds. Reductions to water allotments raised concerns in Central Arizona. Planting neared completion around Safford, Ariz., but rain was needed to supplement well watering.
Plantings were virtually completed in the San Joaquin Valley. The crop made good progress. Some seedling stands exhibited the two true-leaf stage and other early-planted cotton showed 14 nodes, with some squaring.
Some late plantings of Pima cotton went in behind the barley crop where water was available. Below-average reservoir levels are ongoing considerations for Far West producers.
Futures open interest fell 2,127 lots Friday to 184,909, with JulyΆs down 4,333 lots to 112,270 and DecemberΆs up 1,640 lots to 67,232.
Certificated stocks declined 1,621 bales to 509,614. There were 10,479 bales awaiting review.
World values as measured by the Cotlook A Index were unchanged Tuesday morning at 90.10 cents. The index premium to FridayΆs July futures settlement widened 29 points to 8.61 cents.