Mostly sunny skies returned to the Southeast. Cotton growth varied widely in the Delta. Plant growth regulators applied in southern Texas. Thrip populations monitored closely on the Texas Plains. Heat stress noted in Arizona. San Joaquin Valley crop made good progress.
Cotton futures reversed off triple-digit gains and three-session highs to finish in the red and just off the lows Monday.
Spot July settled down 96 points at 63.79 cents, below last weekΆs low of 63.81 cents. It traded within a 254-point range from up 150 points at 66.25 to down 104 points to 63.71 cents, its lowest price since June 3.
December closed down 99 points to 64.08 cents, below lows of the prior four sessions. It traded within a 226-point range from up 123 points at 66.30 to down 103 points at 64.04 cents.
Forecasts suggesting generally favorable weather for crop progress across much of the Cotton Belt this week may have contributed to the pressure. Jitters about the world economy as U.S. stocks traded lower following steep declines in Europe and Asia also may have weighed on cotton, though U.S. dollar index futures slipped.
Volume rose to an estimated 49,612 lots from 46,613 lots the previous session when spreads accounted for 25,875 lots or 56%, EFS 2,950 lots and EFP 72 lots. Options volume totaled 5,094 calls and 5,443 puts.
Mostly sunny skies prevailed across the Southeast late in the reporting week ended Thursday after Tropical Storm Colin tracked across coastal Georgia and the Carolinas, USDAΆs Agricultural Marketing Service said in a cotton review Friday.
Portions of the Florida Panhandle got more than 6 inches of heavy moisture early in the period, while areas from Central Georgia to Virginia received 1 to 2 inches of accumulated rainfall as the storm tracked along the Atlantic coast.
Planting was expected to rapidly near completion in most areas in the next week. Some replanting was in prospect in low-lying areas of the Carolinas where water stood in fields several days.
Showers early in the period gave way to clear skies in the North Delta. Up to 3 inches fell in a few isolated areas. Cotton growth varied widely, from barely emerged up to five to six leaves, owing to non-uniform moisture conditions.
Sunny weather prevailed over the South Delta and helped firm saturated soils, particularly in low-lying areas that experienced flooding in recent weeks. In some cases, the variability in crop development, from cotyledon to initial squaring, was seen in the same field. The Delta crop overall made good progress.
Cotton in the Texas Coastal Bend advanced and overcame struggles from saturated field conditions. Herbicides and insecticides were applied aggressively by ground spray rigs where fields were able to support equipment. Some saturated fields were treated with aerial applications.
Plant growth regulators were applied in southern Texas and the Rio Grande Valley following recent rainfall. In eastern Texas, rainfall early in the reporting period damaged some stands, but warmer, drier conditions then helped the crop gain vigor.
Seeds quickly germinated and cotyledons emerged on recent plantings and replanted fields in the West Texas Plains owing to good topsoil moisture and building heat units. Reports indicated that cotton planted on May 20 had advanced to four true leaves. Thrip populations were under threshold levels, but optimal conditions for transitions from wheat to cotton fields encouraged careful monitoring.
The crop suffered a couple of days of heat stress in western and central Arizona. Last year, the first heat stress days were in July. Early February plantings approached peak bloom with 1-inch bolls noted around Yuma. Later plantings were at first bloom.
Daytime temperatures in the low 100s were about 10 to 12 degrees above normal in the San Joaquin Valley. Nighttime temperatures in the high 60s to low 70s provided relief to cotton plants. The crop made good progress throughout the valley.
Futures open interest fell 5,851 lots Friday to 208,228, with JulyΆs down 11,593 lots to 22,770 and DecemberΆs up 5,112 lots to 131,063. Cert stocks declined 1,681 bales to 120,080. There were 579 newly certified bales and 2,260 bales decertified. Awaiting review were 6,399 bales.
