Double-crop cotton planting delayed in Georgia. Cotton made excellent progress in the Delta. Cotton insurance planting deadline looms in the Rolling Plains. Widespread blooming reported in Arizona.
Cotton futures settled with a moderate loss in the upper quarter of an expanded range in December and down almost the limit in July in heavy dealings Monday.
December settled off 45 points at a three-session low close at 88.99 cents. It opened down 94 points after hitting its highest price on Friday since April 25, 2012, slid to the session low at 87.38 around 6:30 a.m. CDT, clawed up to the high at 89.46 cents about four hours later, and finished 47 points below the high of the 208-point range.
July closed down 386 points at 87.43 cents, settling at a discount to December amid talk of slack export inquiries after last weekΆs gains. It opened on the session high, down 88 points, and had traded down the 400-point daily limit after expiration of July options Friday and bearish implications linked to the exercising of 42,832 calls and 3,787 puts.
Volume climbed to an estimated 63,200 lots from 58,001 lots the prior session when spreads totaled 29,963 lots or 52%, EFS 2,433 lots and block trades 2,370 lots. Options volume totaled 7,530 calls and 7,718 puts.
On the crop scene, excessive rain delayed double-crop cotton planting behind the wheat harvest in some areas of Georgia during the week ended June 13, according to the cotton division of USDAΆs Agricultural Marketing Service.
Application of herbicides also was delayed and producers assessed strategies to combat pigweed. Reports indicated crews entered fields in some areas to control weeds by hand.
Insect pressure from thrips lessened in earlier-planted fields throughout the Southeast as plants grew out of the susceptible stage. Producers in North Alabama sprayed for spider mites.
Cotton made excellent progress in the Delta, though late-planted fields were barely at the first true-leaf stage in the north and stages of growth widely in the south because of the prolonged planting season.
Insect pressure from thrips was light in late-planted fields. Populations of aphids, plant bugs and spider mites increased and a few hotspots were treated.
Showers and some hail fell in the Texas Coastal Bend but damage was minimal. Producers in the West Texas Plains will decide what to replant or do after assessments of cotton damaged by strong winds and hail earlier this month. The cotton insurance planting deadline is Thursday in the Rolling Plains.
Widespread blooming was reported around Yuma, Ariz. Reports indicated the crop around Parker, Ariz., was two weeks ahead of normal. Cotton advanced normally under hot, dry conditions in the San Joaquin Valley.
Futures open interest fell 5,245 lots Friday to 180,557, with JulyΆs 13,718 lots to 29,120 and DecemberΆs 7,901 lots to 138,081.
Certificated stocks grew 4,263 bales to 543,448. There were 4,546 newly certified bales, 283 bales decertified and 43,336 bales awaiting review.
World prices as measured by the Cotlook A Index gained 25 points Monday morning to 96.65 cents. The index premiums to FridayΆs futures settlements widened 68 points to 5.36 cents over July and narrowed four points to 7.21 cents over December.
