* U.S. cotton slips in early trade, consolidates

* U.S. cotton far from record high hit Friday

* Zhengzhou cotton opens limit-down, but recovers (Adds U.S. market performance, adds NEW YORK to dateline and drops BEIJING, writes through)

By Rene Pastor and Nick Trevethan

NEW YORK/SINGAPORE, (Reuters) - U.S. cotton futures rose slightly on Monday but were way off record highs hit last week, while Chinese cotton futures fell by their daily limit before recovering.

After shattering a record high price on Friday set in 1995, trading was more subdued on Monday as fiber contracts consolidated and eyed fresh leads.

The key December U.S. cotton contract rose 0.11 cent to $1.0998 per lb at 10:11 a.m. EDT (1411 GMT), off the record price of $1.198.

U.S. cotton has risen 65 percent since July on the fundamentals of strong demand and tight stocks -- plus investment funds pouring into the market.

Take a Look on cotton: [ID:nN20273787]

Graphic showing prices and volumes:

http://link.reuters.com/zet88p

Graphic on the world's main consumers and exporters:

http://link.reuters.com/qup42p

Graphic on China's consumption and production:

http://link.reuters.com/vur42p

China cotton futures chased the sharp falls in the U.S. market when cotton prices on ICE Futures fell its daily trading limit after hitting a record high last Friday.

Zhengshoul's May cotton delivery touched their downside limit at 23,330 yuan at the open before recovering to settle at 23,695 yuan per tonne, down 610 yuan on the day. It was last traded at 23,750 yuan.

"The prices (were) dragged down by overseas (U.S.) cotton prices. But (Zhengzhou) prices may pick up again. There is still plenty of capital that's bullish on cotton," said Peng Juan, an analyst with International Futures Co. Ltd based in Shenzhen.

Investors have increased their positions over the most-traded Zhengzhou May cotton contract.

Trading in the U.S. cotton market was off to a slow start.

"I think people are trying to get their footing in here," said Bill Raffety, an analyst for commodity futures brokerage Penson GHCO.

Lou Barbera of brokerage VIP Commodities said business is "calming down" as investors try to "find their bearings" after the violent gyrations at the end of last week.

Analysts said the focus remained on China and the progress of their own cotton crop.

"The harvest has been delayed, which means new cotton supply in the short-term would remain tight and futures prices would be supported by strong physical prices," said Peng.

Volume was brisk in China's cotton market, with around 1.9 million lots traded on Monday, equivalent to almost 10 million tonnes.

(Reporting by Rene Pastor in New York, Nick Trevethan in Singapore and Niu Shuping in Beijing; Editing by Lisa Shumaker)