All-cotton U.S. export commitments for 2015-16 reached 99% of the USDA forecast and shipments totaled 77%. U.S. Far East premium narrowed.

Cotton futures surged on follow-through buying to triple-digit closing gains for the second time in three sessions Friday.

Spot July settled up 143 points to 64.33 cents, a new high finish since May 2 and in the upper quarter of its 170-point range from down five points at 62.85 to up 165 points at 64.55 cents.

December closed up 140 points to 63.94 cents, a tick off the high of its 148-point range from 62.47 to 63.95 cents. It printed its highest intraday price and highest close since early January.

Talk circulated of a decline to the smallest offerings thus far in ChinaΆs daily auctions of cotton from its reserve stockpile amid slow deliveries to mill buyers whose inventories are low. Cumulative sales from the auctions now are reported to have exceeded 500,000 metric tons (about 2.3 million 480-poune bales).

Volume was estimated at a hefty 43,011 lots, up from 22,029 lots the previous session when spreads accounted for 8,669 lots or 39% and EFP 40 lots. Options volume totaled 7,260 calls and 5,246 puts.

U.S. all-cotton export commitments for 2015-16 climbed to 8.636 million running bales on net sales of upland and Pima combined of 145,200 RB during the week ended May 19. Sales were down from 201,100 RB the week before but up from 138,600 RB during the corresponding week last year.

Commitments — outstanding sales of 1.824 million RB plus shipments — trailed year-ago bookings by 2.201 million RB or by 20% and were 99% of the USDA estimate. A year ago, 2014-15 commitments also were 99% of last seasonΆs final exports.

The latest USDA export estimate also is down 20% from last season at 9.0 million statistical 480-pound bales.

All-cotton shipments of 254,700 RB, up from 245,000 the previous week, boosted the total for the season to 6.72 million RB, down 1.94 million RB or 22% from exports a year ago.

Shipments totaled 77% of the USDA projection, compared with 79% of final 2014-15 exports a year ago. To achieve the forecast, shipments need to average roughly 201,200 RB a week. Shipments have exceeded that pace in five of the last six weeks.

All-cotton sales for 2016-17 jumped to a high for the year of 121,600 RR from 54,200 the previous week, boosting new-crop commitments to 1.362 million RB, up from forward bookings a year ago of 1.272 million RB. New-crop commitments were 13% of the USDA forecast, against 15% of the current 2015-16 estimate in forward bookings a year ago.

On the competitive-pricing scene, the average of the five lowest-quoted world growths for the Far East increased 108 points to 69.23 cents during the week ended Thursday, according to USDA calculations, while the lowest-priced U.S. cotton landed there gained 70 points to 70.05 cents.

The U.S. premium thus narrowed 38 points to 0.82 of a cent. The adjusted world price, reflecting transportation and quality differentials, is figured at 51.50 cents for the program week ending next Thursday, resulting in a decrease to 50 points in the marketing loan gain.

Futures open interest expanded 2,478 lots Wednesday to 196,414, with JulyΆs up 102 lots to 96,898 and DecemberΆs up 2,130 lots to 82,181. Cert stocks grew 1,945 bales to 94,202. There were 2,328 newly certified bales and 383 bales decertified. Awaiting review were 5,559 bales.