Due to Chehlum earlier this week and social unrest following the release of a Christian lady from jail where she was interred for blasphemy, cotton business remained slow for the better part of this week. However, the tone of the market reportedly remained steady. Thus on Thursday the seed cotton (Kapas/Phutti) prices in Sindh reportedly ranged from Rs 3600 to Rs 4100 per 40 Kgs, while in Punjab they are said to have extended from Rs 3700 to Rs 4200 per 40 kilogrammes.
Lint prices remained steady and extended from Rs 8300 to Rs 8950 per maund (37.32 Kgs) in Sindh and from Rs 8400 to Rs 8900 per maund (37.32 Kgs) in a steady market. However, the turnover on the cotton market remained reportedly low. Traders said on Thursday that there were also transport problems this week which also slowed down ready cotton business. Traders said that there was sustained demand for higher quality cotton.
On Thursday, traders said that prices of cotton on the international market were mostly mixed. According to one assessment, seed cotton equivalent to about 100,000 bales (155 Kgs) is arriving into the ginning factories daily in Punjab. According to the spinners, yarn prices remained low this week. This season (August 2018/July 2019) Pakistan is expected to produce 11.5 million bales (155 Kgs) on an ex-gin basis.
In ready sales on Thursday, 600 bales of cotton from Haroonabad in Punjab reportedly sold at Rs 8475 per maund (37.32 Kgs), 1200 bales from Fort Abbas sold at Rs 8500 per maund, 1400 bales from Ahmadpur East sold at Rs 8675 per maund, 600 bales from Rajanpur sold at Rs 8700 per maund, while 2000 bales from Liaqatpur sold at Rs 8750 per maund.
On the global economic and financial front, the outgoing month of October, 2018 has further brought the global economy towards deepening problems. Moreover, besides the worsening of the global economic situation, social and political problems are also escalating exponentially.
Some of the socio-economic ills pestering the world today include loss of identity in Europe, rightist moves and growing populism on the Continent. Moreover, as Italy's economy stalls, it is slowing down the entire economy of the Eurozone. In China, it has been reported that its economy is at its lowest level in a decade.
It has been felt that the global equity markets have entered in a sell-off mode. Moreover, aggressively hateful divisions have emerged in American society. Also, antisemeticism has grown in American society. As far as President Donald Trump's growing trade war with China is concerned, it could conceivably backfire.
According to one report, a majority of the leading stock markets in Asia have already suffered more than five trillion of equity losses which could increase considerably more before the end of this calendar year. Now the trade war between America and China has had a deeply negative impact across most of Asia
On the American financial market, it has been felt that continuing increase in interest rates by the Federal Reserve Bank could conceivably topple the equity markets and bring about a dramatic collapse.
Businesses, manufacturing and exports are said to be suffering sizeably throughout Asia because of the unending Sino-America trade war. Thus economic slowdown is pervading deeply throughout Malaysia and Indonesia to South Korea and Taiwan. Reports have added that industrial production in Japan has decreased more than earlier envisaged.
Generally speaking, it has been observed that global stock markets have suffered largely in October 2018 which some analysts believe to be an omen of worst to come. Other serious difficulties include continuing increase in immigrants fleeing North Africa to Europe and from Latin America to the United States. Thus we find our world in a very unsettled economic, political and social situation which can spell a major disaster universally.
Comments
Comments are closed.