Spot cotton quotations averaged one and one-half cents lower than the previous week, according to the USDA, Agricultural Marketing Service’s Cotton Program.Quotations for the base quality of cotton (color 41, leaf 4, staple 34, mike 35-36 and 43-49, strength 26.5-28.4, uniformity 81) in the seven designated markets averaged 96.52 cents per pound for the week ended Thursday, October 20, 2011.The weekly average was down from 98.10 cents last week and 108.70 cents reported the corresponding period a year ago.Daily average quotations ranged from a high of 97.71 cents on Friday, October 14 to a low of 94.19 cents on Thursday, October 20.Spot transactions reported in the Daily Spot Cotton Quotations for the week ended October 20 totaled 24,740 bales.This compares to 8,692 bales last week and 20,095 bales reported a year ago.
Total spot transactions for the season were 84,148 bales, compared to 44,120 bales the corresponding week a year ago.The ICE December settlement prices ended the week at 96.86 cents, compared to 101.56 cents last week.
Prices are in effect from October 21-October 27, 2011
Adjustment World Price (AWP) 90.01 ELS Competitiveness Payment 0.00
Loan Deficiency Payment (LDP) 0.00 Fine Count Adjustment 2010 Crop 1.27
Coarse Count Adjustment (CCA) 0.00 Fine Count Adjustment 2011 Crop 1.32
Source: Farm Service Agency, FSA, USDA
Southeastern Markets Spot cotton trading was moderate.Supplies were light.Demand was good.Producer offerings were light.
Average local spot prices were lower.Trading of CCC-loan equities was inactive.
Widespread scattered rain delayed harvesting activities throughout the region during the week.Around one-quarter to one-half of an inch of accumulated precipitations was received in areas from Alabama to Virginia.The moisture benefited late-maturing fields in Georgia, but delayed picking in fields ready to harvest.
Soggy fields delayed the retrieval of modules in some areas.Clear, cold weather prevailed late in the week and breezy conditions helped soft soils to firm.Ginning continued uninterrupted.Local experts reported good yields of 800 to 1,000 pounds per acre on dryland acreage in most areas that had received consistent rainfall during the season.Yields of 1,200 to 1,500 pounds per acre were common in irrigated acreage.
South Central Markets North Delta
Spot cotton trading was slow.Supplies and demand were moderate.Average local spot prices were lower.
Trading of CCC-loan equities was inactive.No forward contracting was reported.
Harvesting advanced dramatically before a cold front brought light showers at mid-week.Rainfall totals of one-half of an inch to one inch were reported.Temperatures dropped sharply, with daytime highs plummeting from the low 80s to the mid 50s.Overnight temperatures were in the upper 30s in most areas, with a few northern counties reporting lows near freezing.Clear skies returned and harvesting resumed after a brief delay.Harvesting surged to 56 percent in Arkansas, 58 in Missouri, and 46 percent in Tennessee, according to the National Agricultural Statistics Service.These figures surpassed the 5-year average of 54 percent and 52 percent in Arkansas and Missouri, respectively.Harvesting remained behind the 5-year average of 50 percent in Tennessee.Most gins were operating around the clock and had backlogs of modules on their yards.Producers were also shredding stalks and completed some fieldwork.
Spot cotton trading was moderate.Supplies were moderate.Demand was light.Average local spot prices were lower.Trading of CCC-loan equities was inactive.No forward contracting was reported.
A front brought cold temperatures and light rain showers to the region.The moisture caused few delays due to the advanced stage of the harvest.Stalk shredding and some fieldwork were accomplished.
According to figures released by the National Agricultural Statistic Service, harvesting progressed to 93 percent in Louisiana, well ahead of the 5-year average of 70 percent.Harvesting in Mississippi advanced to 72 percent; also well ahead of the 5-year average of 62 percent.Harvesting was complete in many areas of Louisiana, and a number of gins had finished or reduced operations to gins days.Most gins in Mississippi were operating at a steady pace.Some producers reported lower-than-anticipated yields.
Spot cotton trading was active.Supplies and demand were moderate.Average local spot prices were lower.
Producer offerings were moderate.No forward contracting was reported.Trading of CCC-loan equities was light.No domestic mill activity was reported.Foreign mill interest was light.
In south Texas, ginning activity neared completion, and producers prepared fields for the next season.
Most fields have been plowed and stalks were destroyed.Some producers managed weed regrowth.
Reports indicated producers expect to plant about the same amount of acres next year.In Kansas, harvesting was underway.All fields have had boll openers applied, but some producers waited on a freeze for finalizing defoliation.In Oklahoma, harvesting increased and more gins initiated operations.The first samples were submitted to the Abilene Classing Office for grading.
Spot cotton trading was moderate.Supplies were moderate.Demand was light.Average local spot prices were lower.Producer offerings were light.No forward contracting was reported.Trading of CCC-loan equities was inactive.No domestic mill activity was reported.Foreign mill interest was light.
A wall of dust and sand, reaching heights of 8,000 feet, blasted the area.Temperatures dropped 50 degrees in some areas in a relatively short amount of time.Wind gusts up to 74 miles per hour caused electric power outages.Buildings, trees and other structures received damage.Cotton fields incurred minimal loss even though more than 90 percent of the bolls were open.Field reports indicated that some crop damage was seen on the corners or edges of some fields.Harvesting rapidly expanded, and more gins initiated operations to keep pace with incoming modules.Daytime temperatures ranged from 60 to 90 degrees, and nighttime lows were 30 to 50 degrees.Some areas received freezing temperatures that will assist with final defoliation.The Lamesa and Lubbock Classing Offices increased personnel as sample receipts amplified.
Desert Southwest (DSW)
Spot cotton trading was inactive.Supplies of new-crop cotton were slowly increasing, as more gins began operations.Demand continued light.Average local spot prices were lower.No forward contracting or domestic mill activity was reported.Foreign mill interest was light and mostly for the purpose of price discovery.Producers delivered previously contracted cotton.
Temperatures in high 90s to low 100s helped the top crop to advance.Defoliation and harvesting gained momentum in Arizona.Defoliation and harvesting was underway in New Mexico and El Paso, Texas.
Initial ginning began in New Mexico.
San Joaquin Valley (SJV)
Spot cotton trading was inactive.Supplies of new-crop cotton were slowly increasing, as more gins began operations.Demand was light.Average local spot prices were lower.Producers delivered to marketing pools and previously contracted cotton.No domestic mill activity was reported.Foreign mill interest was light and for November shipment.
Harvesting gained momentum throughout the Valley.Producers plowed down stalks.Initial quality reports indicated that the majority of the cotton was staple 38 and longer and had strength of 33 and higher.
American Pima (AP)
Spot cotton trading was inactive.Supplies and demand were light.Average local prices were steady.No forward contracting or domestic mill activity was reported.Foreign mill inquiries were light and for November shipment.
Harvesting gained momentum in central Arizona.Defoliation and harvesting advanced in the southern and central southern San Joaquin Valley (SJV).Initial ginning began in the SJV.
Inquiries from domestic mill buyers were light.The undertone from mill buyers remained cautious as they attempted to gauge demand entering 2012.Reports indicated most mills have covered their immediate-to-
Inquiries through export channels were light.Representatives for mills in Turkey inquired for a moderate volume of color 21 and 31, leaf 4 and better, and staple 38 and 39 for prompt shipment.Agents for mills in South America inquired for a moderate volume of color 31, leaf 4, and staple 35 for January through March 2012 shipment.No sales were reported.
* A light volume of color mostly 31, leaf 2 and 3, staple 35 and longer, mike 43-49, strength 27-
30, and uniformity 81-83 sold for 225 to 275 points on ICE December futures, FOB car/truck, Georgia terms (Rule 5, compression charges paid, 30 days free storage).
* Mixed lots containing color mostly 31 and 41, leaf 3-5, staple 34 and longer, mike 43-49, strength 28-31, and uniformity 80-82 sold for 100.00 to 101.50 cents per pound, FOB car/truck (Rule 5, compression charges paid).
South Central Markets
* A light volume of color 41 and better, leaf 4 and better, staple mostly 35-37, mike 34-49, strength 29-36, and uniformity 80-83 traded at around 101.00 cents per pound, FOB car/truck (Rule 5, compression charges paid).
* A light volume of color 41 and better, leaf 5 and better, staple 33 and longer, mike 47-55, strength 26-33, and uniformity 79-82 sold at around 95.75 cents, same terms as above.
* A light volume of mixed lots, mostly color 42 and better, leaf 5 and better, staple 33-35, mike 38-55, strength 27-35, and uniformity 79-81 sold at around 102.85 cents per pound, FOB car/truck (Rule 5, compression charges paid).
* A light volume of color 41 and better leaf 5 and better, staple 33 and longer, mike 43-53, strength 26-33, and uniformity 79-82 sold at around 97.25 cents, same terms as above.
* Mixed lots containing color mostly 31 and 41, leaf 3-5, staple 35 and longer, mike 43-52, strength 29-31, and uniformity 80-82 sold for 93.50 to 96.50 cents, same terms as above.
* A moderate volume of color 31 and 41, leaf 3-5, staple 33 and 34, mike 50-53, strength 25-27, and uniformity 79-81 sold for 91.75 cents, same terms as above.
Southwestern Markets East Texas
* A light volume of 2011-crop cotton, color 11 and 21, leaf 2 and 3, staple 35, mike 42-45, strength 28-29, and uniformity 80-81 sold for around 97.50 cents per pound, FOB warehouse (compression charges not paid).
* A light volume of mostly color 31 and 41, leaf 5 and better, staple 33-36, mike 45-53, strength 25-27, and uniformity 79-82 sold for around 92.50 cents, same terms as above.
* A moderate volume of mostly color 11 and 12, leaf 2 and 3, staple 31-33, mike 47-51, strength 25-28, uniformity 79-81, and 25 percent extraneous matter sold at around 86.00 cents, same terms as above.
* A heavy volume of CCC-loan equities traded for 43.00 cents per pound.
* A light volume of 2011-crop cotton, color 21 and 31, leaf mostly 2 and better, staple 35 and longer, mike 37-49, strength averaging 30.9 was sold for 102.00 to 105.00 cents per pound, FOB car/truck.
* A light volume of 2010-crop cotton, color 21, leaf 2, staple 36 and longer, mike averaging 42.3, and strength averaging 30.9 traded for around 105.00 cents, same terms as above.
Western Markets Desert Southwest
* A moderate volume of 2010-crop cotton, color 31 and better, leaf 3 and better, staple 35 and longer, mike mostly 30-34, and strength averaging 28.4 sold for around 88.00 cents per pound, FOB car/truck.
San Joaquin Valley
* A light volume of 2012-crop cotton was contracted.
* No trading activity was reported.