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Wait-and-see mood prevailed on the cotton market on Saturday as leading buyers kept to the sidelines due to transportation problems, dealers said. The official spot rates maintained firm look, showing no change at Rs 2075, without upcountry expenses, dealers said. The seed-cotton prices almost maintained the overnight levels at Rs 800-930 in Sindh, and in Punjab at Rs 800-950.
In both Sindh and Punjab the higher rate of cotton was quoted at Rs;2075
Relevant sources said that the clear cut direction of the cotton market would emerge after the Eid-ul-Azha holidays. Many players were anticipating that prices might show marginal softness as ginners may prefer to sell their stock in a hasty mood, after facing dullness due to long holidays.
Not a single deal was struck on Saturday as some buyers presence was noted but not indulging in fresh business, they added.
The NY cotton futures ended mixed in activity featuring small speculators ahead of a holiday break, with analysts uncertain about market direction going into next week.
The cotton futures market will be shut on Monday in observance of the Martin Luther King Jr. Day.
Trading will resume on Tuesday.
The New York Board of Trade's March cotton contract slipped 0.11 cent to conclude at 46.17 cents a lb, ranging from 45.66 to 46.30 cents.
It was an inside day since the range was within Thursday's 45.62 to 46.45 cents band. May rose 0.17 cent to 47.23 cents. The rest contracts ranged from 0.25 cent up to 0.15 cent softer.



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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 2075.00 50 2125.00
Equivalent-------------------------------------------------
40 Kgs 2224.00 50 2274.00
===========================================================

Copyright Business Recorder, 2005

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