Slow trading activity was witnessed on the cotton market on Wednesday as the ginners started raising asking prices, dealers said. The official spot rate was unchanged at Rs 6250, dealers said. In Sindh, seed cotton prices were at Rs 2600-3250, they said that in Punjab, phutti rates were at Rs 2800 and Rs 3500, as per 40 kg, they added. In the ready session, around 15,000 bales of cotton changed hands between Rs 5600-6550, they said.
According to the market sources, the ginners who were enthusiastic to earn more profit, rising prices of fine quality. They also observed that the textile industry was passing through a difficult period and the spinners on the other hand, was confused under the circumstances. Crisis ridden cotton yarn market was very slow, particularly of high-count yarn, they said. Cotton analyst, Naseem Usman said that a few leading spinners have already purchased stock of cotton lint, which was enough to meet demand in the near future. So, he opined that the leading spinners were not very active in buying of huge stock and away from the trading arena. In the meantime, arrivals of fine quality slowed down, brokers said.
Reuters adds: ICE cotton futures settled higher for a second straight day on Tuesday after touching a three-week high on short-covering. March cotton contract on ICE Futures US settled up 0.35 cent, or 0.49 percent, at 72.04 cents per lb. It traded within a range of 71.19 and 72.43 cents a lb, the highest since November 22.
The following deals reported: 800 bales from Sanghar sold at Rs 5600-5900, 400 bales from Jhole at Rs 5900, 1000 bales from Khairpur at Rs 6200, 1600 bales from Rohri at Rs 6000-6450, 2000 bales from Salahpat at Rs 6300, 400 bales from Sarhad at Rs 6500, same figure from Khanpur Mehar, same number from Mirpur Mathilo, 800 bales from Ghotki, 1000 bales from Dharki all done at the same rate, 3200 bales from Mianwali at Rs 6000-6100, 600 bales from Basti Malook at Rs 6300, 1000 bales from Fort Abbas at Rs 6400 and 600 bales from Rahim Yar Khan at Rs 6525-6550, dealers said.
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The KCA Official Spot Rate for Local Dealings in Pakistan Rupees
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FOR BASE GRADE 3 STAPLE LENGTH 1-1/32"
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MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
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Rate Ex-Gin Upcountry Spot Rate Spot Rate Difference
For Price Ex-Karachi Ex. KHI. As Ex-Karachi
on 13-12-2016
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37.324 kg 6,250 135 6,385 6,385 NIL
Equivalent
40 kgs 6,698 145 6,843 6,843 NIL
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