Cotton prices firmer as dollar stabilizes

Cotton prices stabilised on the local market on Wednesday as the dollar showed limited gains against the rupee in the process of trading, dealers said. The official spot rate halted fresh decline, maintaining overnight level at Rs 8800, they added. Prices of seed cotton in Sindh were at Rs 4100-4200 and in the Punjab, rates were at Rs 3500 and Rs 4100, they said. In Balochistan, seed cotton prices were at Rs 4000-4200, they said.
In ready session, over 5,000 bales of cotton finalised within the range of Rs 8700-8900, they said. According to the market sources, trading activity slowed down due to high flow of seed cotton and partly because of slight relaxation after election 18. Some leading mills were active to replenish their stock, in the meantime, other buyers refrained from the fresh buying just to observe emerging developments before set up of new government, they said.
Cotton analyst, Naseem Usman said that cotton prices were firm in the market and world market, as well.
In India, cotton prices were higher due to strong demand, dealers said.
Following deals reported: 1000 bales of cotton from Tando Adam at Rs 8850-8900, 100 bales from Shahdadpur at Rs 8800-9000, 600 bales from Hyderabad at 8800-8900, 800 bales from Sanghar done at the same level, 600 bales from Kotri at Rs 8800-8900, 200 bales from Khanewal at Rs 8900, 400 bales from Burewala at Rs 8850-8900, same number from Vehari at Rs 8800-8900, 200 bales from Samandri at Rs 8900, same figure from Chichawatni at Rs 8850 and same figure from Pak Pattan at Rs 8700, they added.

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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 1-1/16"

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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 31-07-2018

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37.324 kg         8,800       160        8,960         8,945         + 15/-

Equivalent

40 kgs            9,431       171        9,602         9,586         + 16/-

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