Trade activity slowed down despite modest decline in the rates on the cotton market on Thursday, dealers said. The official spot rate was lower by Rs 100 to Rs 8,500, they added. In the ready session, approximately 800 bales of cotton finalised between Rs 7500 and Rs 8250, they said.
Prices of seed cotton in Sindh were at Rs 3000-3500, in Punjab seed cotton prices at Rs 3000-3600 and in Balochistan prices were at Rs 3200-3500, they said. Market sources said that mills made cautious buying of cotton to replenish their stock. Rising uncertainties about a deal between India and Pakistan over war like situation at LoC, propelled them to refrain from fresh deals.
Cotton analyst, Naseem Usman said that nation of both countries, were keen to see solution of the issue as soon as possible. Besides, to control speedily declining cotton cultivation area in the country, Prime Minister Imran Khan will announce Rs 3,500 per maund (40kg) indicative price for cotton in coming month.
Present trend in the market, likely to continue in the absence of fresh leads, other brokers said. Adds Reuters: ICE cotton futures rose on Wednesday on expectations of strong US weekly export sales data, while sentiment was boosted by the top US trade official's comments on the inclusion of the natural fibre in a possible trade deal with China.
The most active cotton contract on ICE Futures US, the May contract, settled up 0.34 cent, or 0.47 percent, at 72.36 cents per lb. Total futures market volume fell by 5,140 to 16,078 lots. Data showed total open interest gained 2,018 to 220,435 contracts in the previous session. The following deals reported: 200 bales from Mianwali at Rs 8250 and 600 bales from Mian Chunnu at Rs 7500, they said.
===========================================================================
The KCA Official Spot Rate for Local Dealings in Pakistan Rupees
---------------------------------------------------------------------------
FOR BASE GRADE 3 STAPLE LENGTH 1-1/16"
---------------------------------------------------------------------------
MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
===========================================================================
Rate Ex-Gin Upcountry Spot Rate Spot Rate Difference
For Price Ex-Karachi Ex. KHI. As Ex-Karachi
on 27-02-2019
===========================================================================
37.324 kg 8,500 160 8,660 8,760 - 100/-
Equivalent
40 kgs 9,109 171 9,280 9,388 - 108/-
===========================================================================
Comments
Comments are closed.