Planting moved rapidly following rains in lower Southeast. Seedlings made slow progress in the Delta. Rio Grande Valley yield potential termed encouraging. “Tremendous” acreage planted on Plains prior to storms. Oklahoma irrigated crop 90% planted. Yuma crop progressed to squaring.
Cotton futures finished modestly lower Tuesday, paring an early morning plunge to triple-digit losses after posting the session highs in the initial minutes of overnight dealings.
Spot July settled down 34 points at 63.94 cents, around the upper third of its 156-point range from up 18 points at 64.46 to down 138 points at 62.90 cents. December closed down 30 points to 63.55 cents, also in the upper third of its 146-point trading span from 64 to 62.54 cents. Both bounced after falling below FridayΆs lows.
For the month, July eked out an 18-point or 0.29% gain and December rose by 83 points or 1.33%.
Volume climbed to an estimated 31,855 lots from 25,564 lots the prior session when spreads accounted for 12,125 lots or 47%, EFP 515 lots and EFS 168 lots. Options volume totaled calls and . . . puts.
Wet weather briefly interrupted fieldwork in some areas of the lower Southeast region early in the reporting week, but then planting moved at rapid pace, a weekly cotton review by USDAΆs Agricultural Marketing Service indicated Friday.
Some fields were sprayed for thrips. Warmer conditions and additional heat units were needed to invigorate emerging seedlings. Wet, cool conditions delayed planting and produced concern about root diseases in seedlings in the upper Southeast. Damp, overcast conditions gave way to mostly sunny skies the remainder of the period.
Cotton seedlings continued to make slow progress under cool, wet soils in the North Delta. Heavy numbers of thrips and bollworm moths were reported. Producers hoped for rain to promote germination on fields planted without sufficient topsoil moisture in the South Delta. Some irrigation was getting underway on earlier-planted fields.
Industry people were encouraged with plant development and yield potential in the Texas Rio Grande Valley if weather remains favorable. Plant growth regulators were applied and some fields were treated for pests. Harvesting is expected to begin in mid-July. Heavy rains slowed final planting and interfered with stand establishment in the Blacklands.
Cotton stands in Kansas had a slow start amid cool temperatures and rainfall that measured from a trace to 4.5 inches. Planting resumed late in the period to sow fields ahead of the June 1 crop insurance deadline. About 90% of the irrigated fields in Oklahoma had been planted. Replanting was underway.
Growers planted a “tremendous” acreage in the West Texas Plains ahead of thunderstorms over the Memorial Day weekend. Many growers had finished planting irrigated ground and focused on dryland acres. Some fields were lost to hail and will be replanted in the southern Rolling Plains. Some fields remained dry and needed moisture.
Industry representatives described condition of the Yuma, Ariz., crop as good to excellent. The crop progressed to the squaring stage. Local sources rated condition of the crop in New Mexico and around El Paso as fair to good. Windy conditions and some hail damage slowed crop progress.
An unusual, unseasonably cool weather pattern entered the San Joaquin Valley, bringing strong winds and some rainfall with hail in the western area. Crop growth varied from cotyledon to the four-leaf stage. Snowfall above the 8,000-foot level added to the Sierra Nevada Mountain snowpack.
Futures open interest expanded 1,881 lots Friday to 201,185, with JulyΆs down 1,851 lots to 93,948 and DecemberΆs up 3,236 lots to 89,105. Cert stocks grew 2,002 bales to 97,364. Awaiting review were 3,789 bales.
