Cotton buying picks up, prices remain firm

Firm trend was again witnessed on the cotton market on Saturday as mills continued buying in anticipation of further rise in the prices, dealers said. The Karachi Cotton Association (KCA) official spot rate was unchanged at Rs 2900, they added.
According to the market sources, the spinners did not show any relaxation and made huge buying to meet the near term requirements. They said that there was some speculative buying following the report that mealy bug may cause damage to standing crop.
The NY cotton futures were higher as the New York Board of Trade's key open-outcry December cotton contract added 0.32 cent to finish at 57.50 cents per lb., dealing from 56.95 to 58.15 cents. On Thursday, the contract ended at a 10-week low at 57.18 cents in its worst performance since June. March cotton rose 0.25 to 60.95 cents. The rest added from 0.27 to 0.60 cent.
The Intercontinental Exchange NYBOT electronic cotton market showed December up 0.47 cent at 57.65 cents at 2:36 pm EDT (1836 GMT), moving from 56.90 to 58.35 cents.
The following deals were finalised: 200 bales of cotton from Jhole sold at Rs 2950, 1200 bales from Sahghar at Rs 2950, 100 bales from Mirpurkhas at Rs 2950, 1400 bales from Tando Adam at Rs 2950/2965, 200 bales from Mirpurkhas at Rs 2950, 600 bales from Shahdadpur at Rs 2950, 200 bales from Sultanabad at Rs 2925, 200 bales from Hyderabad at Rs 3000, 400 bales from Chichawatni at Rs 3000, 400 bales from Bahawalnagar at Rs 2965, 200 bales from Bahalpur at Rs 3025, 200 bales from Pakpatan at Rs 3000, 200 bales from Sahiwal at Rs 3000, 200 bales from Vehari at Rs 3000 and 200 bales of cotton from Hasilpur at Rs 3025.

===========================================================

The KCA Official Spot Rate for Local Dealings in Pak Rupees

-----------------------------------------------------------

FOR BASE GRADE 3 STAPLE LENGTH 1-1/32"

 MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL

===========================================================

Rate           Ex-Gin     Upcountry    Spot Rate Ex-Karachi

for            Price                        Sales Tax @ 15%

===========================================================

37.32 Kgs      2900.00        50                    2950.00

Equivalent-------------------------------------------------

40 Kgs         3108.00        50                    3158.00

===========================================================