Trading activity improved on the cotton market on Thursday though most of the participants were busy in Eid greetings in post-holiday session, dealers said. The official spot rate was unchanged at Rs 3475, they said. Approximately 9,000 bales changed hands between Rs 3500-3575, they said.
Phutti prices in Sindh were same at Rs 1700-1725 and in Punjab, the rates went up at Rs 1725-1800, they added. According to the market sources the mills were active to cover the near-term needs following the fears that short supply of cotton may cause price flare-up in the coming days. Stable trend in prices is indicating that the rates may come up with gradual rise amid strong demand by the mills and exporters, they added.
On Wednesday the New York cotton futures closed higher on investor buying spurred by talk of potential quality damage to cotton after cold weather struck the key growing area of Texas, brokers said. The December cotton contract gained 0.55 cent to finish at 64.68 cents per lb. moving between 63.50 and 64.83 cents. December volume reached 6,222 lots at 2:35 pm EDT (1835 GMT). March cotton rose 0.48 cent to end at 66.59 cents, dealing from 65.48 to 66.63 cents.
THE FOLLOWING DEALS WERE REPORTED: 1600 bales of cotton from Sanghar sold at Rs 3500, 1200bales from Tando Adam at Rs 3500/3525, 2000 bales from Shahdadpur at Rs 3500-3525, 600 bales from Jhole at Rs 3500-3525, 1000 bales from Mirpurkhas at Rs 3500, 600 bales from Khanewal at Rs 3500, 800 bales from Chistian at Rs 3575 and 1000 bales from Mian Channu at Rs 3575, they said.
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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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37.324 Kgs 3,475.00 100 3,575.00
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Equivalent
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40 Kgs 3,724.00 100 3,824.00
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