NYBOT cotton futures closed softer Monday on combined speculative liquidation although steady trade buying at the lows trimmed the market's losses, brokers said.
December cotton fell 1.00 cent to conclude at 43.98 cents a lb, in a band from 43.55 to 44.90 cents. March shed 0.37 cent to 44.20 cents.
Back months retreated 0.16 cent to 0.65 cent.
Keith Brown, president of Keith Brown and Co. in Moultrie, Georgia, said some of the speculative selling may be tied to liquidation ahead of the US Presidential election on Tuesday.
But he said solid trade buying propped up futures, enabling cotton to rebound from its lows for the session.
"We're just sort of chopping around" going into the close in cotton, Brown said, adding weakness in cotton was reflected in other commodity markets.
Analysts said the cotton trade is watching the tight US election battle between President George W. Bush and Sen. John Kerry to see if trade policy and the dollar will be affected by the poll results.
Fundamentally, the market must also wrestle with a record cotton crop in the United States and similarly large crops in places like China, the world's largest producer and also the biggest consumer of cotton.
The US harvest is expected to hit full bore in November and that could nudge prices lower, dealers said.
Brokers Flanagan Trading Corp. forecast support for the December cotton contract at 43.65 cents and 43 cents, while resistance was seen at 44.25 cents and 44.90 cents.
Floor dealers pegged estimated final volume at 14,500 lots, from Friday's 15,528 lots.
Open interest in the cotton market rose 2,444 lots to 83,808 lots as of October 29.