No business transacted on cotton market

Dullness prevailed in the cotton market in the pre-Eid session on Saturday as leading participants were on the sidelines and discussing the next direction of the market when it would open after observing Eid holidays, cotton analysts said. The official spot rate was unchanged at Rs 1920, without upcountry expenses. Market sources said that attendance was low ahead of Eid-ul-Fitr holidays. Main players were on the sidelines and exchanging views that how the market would react after Eid holidays.
Commenting on the recent directive by the Cotton Procurement Committee to the Trading Corporation of Pakistan (TCP) in which it said to raise the limit of cotton buying from 3,000 to 6,000 bales, Naseem Usman, chairman of the Karachi Cotton Broker Association (KCBA), said he expected that this factor was likely to minimise the losses of the growers.
Cotton prices resisted fresh fall on Trading Corporation of Pakistan's (TCP) increased buying and growers' attitude not to sell their stock at the prevailing level to keep away from sharp losses, analysts said.
Some cotton analysts were anticipating that prices might not show sharp fluctuation in the post-Eid sessions and some of them were assuming that prices were likely to move down on expectations of rising production.
NY cotton futures closed mostly easier as switch trade dominated business and a bearish government production report was ignored for the most part by the trade. December contract gained 0.46 cent to 44.34 cents a lb, and March contract slipped 0.13 cent to 42.85 cents a pound.

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The KCA Official Spot Rate for Local Dealings in Pak Rupees

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

MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL

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Rate           Ex-Gin     Upcountry    Spot Rate Ex-Karachi

for            Price                        Sales Tax @ 15%

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37.32 Kgs      1920.00        50                    1970.00

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

40 Kgs         2058.00        50                    2108.00

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