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Modest business was seen on the cotton market on Friday as some mills keenly took part in trading to meet the near-term requirements, dealers said.
The official spot rate was unchanged at Rs 2425, without upcountry expenses. Cotton prices remained under pressure in both Sindh and Punjab due to lack of buying interest, dealers said.
The mills were in the market looking for fine quality of cotton as all the trading centres re-opened after observing a holiday on account of 23rd March (Pakistan Day).
On the other hand, the ginners were wary of falling trend in the rates and trying to sell unsold stock of inferior quality as well, they said.
REUTERS ADDS: The New York Board of Trade's May cotton contract went up 0.77 cent to settle at 52.99 cents a lb, near the top of its 52.02 to 53.15 cents band.
On Wednesday, the contract ended at 52.22 cents in the lowest close for cotton on a spot basis since trading below 50 cents in December 2005. July rose 0.83 to 54.45 cents. The rest rose 0.80 to 1.05 cents.
Following deals were reported: 2400 bales of cotton from upper Sindh sold at Rs 2425-2475, 2000 bales from Sadiqabad at Rs 2450, 4000 bales from Rahimyar Khan at Rs 2425-2475 and 200 bales from Khanpur at Rs 2375.



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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 2425.00 50 2475.00
Equivalent-------------------------------------------------
40 Kgs 2599.00 50 2649.00
===========================================================

Copyright Business Recorder, 2006

Copyright Reuters, 2006

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