U.S. supply-demand estimates showed only marginal changes from last month, as generally expected, while the world production shortfall widened 800,000 bales to 9.79 million.

Cotton futures extended closing gains to four in a row on huge volume Tuesday, with spot May at on a new rally high finish after USDAΆs updated 2015-16 supply-demand estimates came in about as predominantly expected.

May closed up 80 points to 61.51 cents, in the upper quarter of its 168-point range from up 114 points at 61.85 to down 54 points at 60.17 and a new high finish since Feb. 3. It touched the high shortly after the supply-demand report, sank below the prior-day low and rallied to finish just above its 200-day moving average coming into the day of 61.49.

July gained 67 points to settle at 60.91 cents and December rose 29 points to close at 59.77 cents. December closed even with its highest finish since Feb. 16 and above its 50-day moving average for the third straight session.

Volume surged to an estimated 77,395 lots from 57,265 lots the previous session when spreads accounted for 36,518 lots or 64%. Options volume totaled 13,314 calls and 5,567 puts.

U.S. supply-demand estimates showed only marginal changes from last month, with production down 73,000 bales to 12.87 million to reflect USDAΆs March ginning data.

Domestic mill use and exports were unchanged at 3.6 million bales and 9.5 million bales, respectively. With small adjustments to imports and the “unaccounted” residual, ending stocks dropped 100,000 bales to 3.5 million.

The marketing year average farm price is projected from 58 to 59 cents, a reduction of a cent at the upper end of the range. The midpoint of 58.50 cents is down from an average of 61.30 cents last season and 77.90 cents two years ago.

Globally, the margin by which cotton consumption is expected to exceed production widened 800,000 bales to 9.79 million, the first world crop shortfall since 2009-10.

Global production fell 420,000 bales to 99.8 million and consumption rose by 380,000 bales to 109.59 million. Crop estimates were lowered in Cote dΆIvoire, Mali and Brazil. Mill use was raised for China and Pakistan but lowered for Indonesia, Bangladesh and Turkey.

World ending stocks declined 1.12 million bales to 102.22 million, reflecting a stocks-to-use ratio of 93.3%, down from 94.6%. The carryout estimate for China dropped 500,000 bales to 64.02 million, 62.6% of the world total.

Beginning stocks were revised down 290,000 bales to 111.88 million, with cuts mainly for Greece and Malaysia on historical revisions partly offset by an increase for Brazil.

Ending stocks in the world outside China are forecast to decline 5.76 million bales from the beginning inventory to 38.2 million. That carryout would be 49.6% of the rest of the world mill use of 77.09 million bales.

Futures open interest fell 2,630 lots Monday to 215,076, with MayΆs down 9,996 lots to 67,004 and JulyΆs up 5,848 lots to 83,288. Cert stocks increased 439 bales to 37,388.