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ICE cotton futures jumped 2 percent to touch more than one-week high on Tuesday as investors covered their short positions, with progress on the US-China trade talks in focus. The most active cotton contract on ICE Futures US, the May contract, settled up 1.48 cents, or 2 percent, at 74.61 cents per lb.
The second-month contract hit its highest level since Feb. 22, at 74.70 cents.
"Market is somewhat higher on additional spec short-covering, post yesterday's loss," said Louis Rose, director of research and analytics at Tennessee-based Rose Commodity Group.
Total futures market volume rose by 2,641 to 29,480 lots. Data showed total open interest gained 1,139 to 224,385 contracts in the previous session.
Certificated cotton stocks deliverable as of March 4 totalled 131,497 480-lb bales, down from 131,498 in the previous session.

Copyright Reuters, 2019

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