NEW YORK, Jan 27 (Reuters) - Cotton futures ended marginally firmer
Friday as fiber contracts rose for the first time in three sessions, although
the market stayed range-bound while looking toward developments which could spur
business next week, analysts said.

Benchmark March cotton on ICE Futures U.S. rose 0.02 cent to finish
at 95.61 cents per lb, moving from 95.30 to 96.49 cents. It was an inside day
for the second straight session since the range was within Thursday's 95.29 to
97.41 cents band.

On the week, the market was down 2.6 percent.

Volume Friday amounted to more than 13,500 lots, over 15 percent below the
30-day norm, according to preliminary Thomson Reuters data.

'It's consolidating at the lower end of the trading range,' said Mike
Stevens, an independent cotton analyst in Louisiana.

Traders said the market has been drifting along, but some developments
should perk up activity next week.

China, the world's top consumer of cotton, will come back from the Lunar New
Year holidays.

Next Friday, the U.S. industry group National Cotton Council will release
its annual survey of potential U.S. cotton plantings in 2012.

'The survey by the NCC should start people focusing on the spring planting
season. The Chinese were not completely away, but its been quiet there all of
last week due to New Year,' a dealer said.

Analysts said the nearby downside targets for the March cotton contract
could be found at 94.52 cents, which was the Jan. 13 low, then the Jan. 12 low
of 94.13 cents and after that the Jan. 9 low of 93.22 cents.

Open interest, an indicator of investor exposure, stood at 166,088 lots as
of Jan. 26, the first time in 12 sessions that it declined, ICE Futures U.S.
data showed.

On Wednesday, it stood at 166,183 lots, having posted a rise of almost 10
percent so far this year.

Thursday's volume stood at 18,953 lots, from the Wednesday tally of 25,357
lots, the exchange data showed.