Cold and snow may chill early cotton planting plans in the upper Texas High Plains, but some growers plan to begin this week in the Lubbock area. Some fields reported blooming in Rio Grande Valley. Upland loans outstanding fell to 2.371 million RB.
Cotton futures finished narrowly ahead Monday, chopping much of the day back and forth around the flat line in light trading.
Most-active July eked up eight points to settle at 78.95 cents, just above the midpoint of its 69-point range from down 36 points at 78.51 to up 33 points to 79.20. December gained 18 points to close at 74.80 cents, just off the high of its tight 48-point range from 74.36 to 74.84 cents.
Grains finished strongly ahead, with July Kansas City wheat up 6.4% amid fears of crop damage from a weekend snowstorm. July Chicago wheat closed up 5.4%, while July corn settled up 3% and July soybeans 1.5%.
Cotton volume slowed to an estimated 15,301 lots from 26,369 lots the prior session when spreads accounted for 8,345 lots or 32% and EFP 16 lots. Options volume declined to only 605 lots (407 calls and 198 puts) from 6,478 lots (3,421 calls and 3,057 puts).
Cold and snow in the upper Texas High Plains over the weekend may chill early cotton planting plans there, but some growers in the Lubbock area with adequate topsoil moisture still intend to start later this week.
Other growers in the central Plains plan to wait until next week, preferring their usual starting date of May 10. Most producers can plant their cotton acres in five to seven days. The traditional optimum cotton planting period on the High Plains opens Friday.
Subsoil moisture generally is good across the region, though there are some dry pockets. Pre-planting irrigation has been limited. Wheat and cover crops in some areas have been sprayed in preparation for planting cotton.
Daytime high temperatures are expected to rebound to 78 and 88 degrees Monday and Tuesday at Lubbock, dip to 69 Wednesday as a front brings mostly sunny and windy conditions, and climb to near 90 degrees on Sunday. Nighttime lows are expected to range from the mid-40s to low 50s.
Elsewhere in Texas, some fields were blooming in the Rio Grande Valley, traditional source of the nationΆs first new-crop supplies, and were being irrigated.
Generally, the crop in southern Texas was off to a desirable start, USDAΆs Agricultural Marketing Service reported Friday in a weekly review. The potential for a “great crop” was seen if weather cooperates during the growing season.
In eastern Texas, rainfall and hail stalled planting late in the reporting week. Planting was estimated 75% to 80% completed in some counties, but conditions werenΆt optimal. More rain was in the nearby forecast and fields already were saturated.
Meanwhile, upland cotton under loan declined 228,466 running bales to 2.371 million RB during the week ended last Monday, according to the latest USDA figures.
Repayments were made on 229,165 RB and entries were 699 RB. Upland loans outstanding included 214,037 RB of Form A loans issued to individual growers and 2.157 million RB of Form G issued to marketing cooperatives or loan servicing agents.
Trading of Commodity Credit Corp. loan equities turned inactive in the West Texas Plains last week and remained inactive to slow in other markets across the Cotton Belt.
Futures open interest expanded 1,330 lots to 254,681 Friday, with MayΆs down 31 lots to 70, JulyΆs down a single lot to 136,781 and DecemberΆs up 1,190 lots to 103,332.
Certified stocks grew 1,957 bales to 303,994. There were 2,485 newly certified bales and 528 bales decertified. Awaiting review were 1,872 bales, including 904 at Galveston and 968 at Memphis.
