Cotton Bounces to Close Mostly Slightly Higher

Harvesting completed in the Rio Grande Valley. Bolls quickly popped open in the Texas Plains. Ginning had begun in Georgia. Defoliation gained speed in the Delta. Early quality reported typical for the Yuma area. Ginning set to begin around Oct. 1 in the San Joaquin Valley.

Cotton futures bounced off new contract lows to settle slightly higher Monday in most contracts beyond thinly traded October.

Benchmark December closed up 24 points to 60.79 cents, in the upper quarter of its tight 82-point range from down 45 points at 60.10 to up 37 points at 60.92 cents. It posted its second straight new lifetime low, closed in the red for the third day in a row and has finished ahead only once in the last six sessions.

October closed down 10 points to 59.75 cents, March settled up 11 points to 60.63 cents and December 2016 finished down eight points to 61.09 cents.

Volume slipped to an estimated 25,500 lots from 39,896 lots the prior session when spreads accounted for 10,659 lots or 27%, EFP 208 lots and EFS 44 lots. Options volume totaled 4,289 calls and 6,450 puts.

Modules had been delivered to gin yards and harvesting completed in the Texas Rio Grande Valley during the week ended Thursday, according to a weekly cotton review by USDAΆs Agricultural Marketing Service.

Muddy conditions prevented producers from plowing stalks. Defoliants and boll openers were applied by airplanes in the Blackland Prairies. Harvesting was underway and more gins began operations. Some gins planned to process modules on one shift because of reduced acreage.

Bolls quickly popped open in the West Texas Plains under hot, dry conditions ahead of a cool front. Fields that received recent spotty rainfall showed vigor but fields that missed the rain struggled. Growers considered defoliation schedules.

Mostly sunny, ideal weather prevailed across the Southeast late in the week after widespread shower activity early in the period brought moisture to areas throughout Alabama, the Florida Panhandle and South Georgia. Similar conditions prevailed in the Carolinas and Virginia.

Harvesting had begun in the earliest planted fields. Modules were arriving at gin yards in Georgia and ginning had begun.

Warm, clear conditions prevailed during most of the week in the North Delta. Defoliation was underway throughout the region. Limited harvesting was expected to begin in a few days.

Defoliation quickened in the south Delta and harvesting slowly expanded. Some ginning had begun but wasnΆt expected to gain momentum until the end of the month.

About a third of an inch of rain fell in central Arizona. Clear, sunny conditions allowed harvesting to progress around Yuma. Early quality results were typical for the area. The crop made good progress in central and eastern Arizona.

Light, scattered rain fell in the San Joaquin Valley at midweek, with about a tenth of an inch recorded in some areas. Defoliation commenced. Ginning was set to begin around Oct. 1.

Futures open interest expanded 4,039 lots to 180,415 on FridayΆs sharp skid to new contract lows, with DecemberΆs up 2,224 lots to 119,817 and MarchΆs up 659 lots to 45,659. Certificated stocks declined 1,328 bales to 50,282.