Cotton falls further as USDA ups stocks estimate again


Oct 11 (Reuters) - Cotton prices extended losses in earlytrade on Thursday after the U.S. government increased itsinventory forecast for the season to end-July 2013 to a recordof close to 80 million 480-lb bales.

It was the third monthly increase by the U.S. Department ofAgriculture since the new marketing season started on Aug. 1.

The benchmark December futures were down 1.53 percentat 71 cents per lb by 8:56 a.m. EDT (1256 GMT), having fallen aslow as 70.41 cents immediately after the publication of thereport. Before its release, prices were down 1.08 percent at71.32 cents.

(Reporting by Josephine Mason in London; Editing by DaleHudson)

((Josephine.Mason@thomsonreuters.com)(+1 646 223 8925))