December cotton finished slightly higher Tuesday, even though specific trading information was scant. News that India’s monsoons are coming irregularly for the major cotton province of Gujarat may have lent some fundamental support. The U.S./Mexican trade agreement was also seen as a positive factor, as well as the news Canada may send trade representatives to Washington this week. Beyond that scope, some traders were preparing for the upcoming three-day Labor Day weekend.
Details from USDA’s tariff-aid programs call for a direct payment of 6 cents per pound over the 2018 production. Another potential partial payment, yet to be determined, may come after harvest. Producers must verify their 2018 production with their local FSA office to be eligible.
Volume was very slow at 13,000 estimated contracts traded.
December cotton settled at 8358, up 24, March was 8385, up 33, and December 19 cotton closed 7774, unchanged.