Futures contracts of cotton traded higher on the MCX as investors covered their short positions. The front month June contract had hit a five-month low of 19,470 rupees per bale (1bales=170kg) giving traders an opportunity to buy at lower levels. Expectations of higher output in 2017-18 (Oct-Sep) due to increased acreage across the country pushed prices lower. Gains in cotton futures on the ICE also aided the sentiment. On the MCX, the July cotton contract was at 19,730 rupees per bale (1bale=170kg), up 0.2% from the previous close, while the most-active December contract on ICE was at 67.66 cents per pound, up 0.43%.