Small business was seen on the cotton market on Saturday as leading mills were on the sidelines due to less buying interest, dealers said. The official spot rate held the overnight level at Rs 5800, they added. The prices of seed cotton in Sindh and Punjab were unchanged at Rs 2800-2900, they said. In the ready session, around 1400 bales of cotton changed hands between Rs 5700-5775, they said.
A kind of dullness prevailed on the market as most of the buyers were on the sidelines due to little interest in buying, they said. Cotton analysts said that after the sharp fall in the NY cotton futures, the ginners were not willing to make new purchase. In the meantime, mills showed some interest in buying to meet urgent needs, they said. They said that phutti supply is tight and this factor may play a positive role in stabilising rates in times to come.
Reuters adds: cotton futures in New York fell to their lowest in almost five years on Friday as a sell-off by speculators, sparked by the prospect of bumper production in the 2014/15 crop year, continued. The benchmark December cotton contract on ICE Futures US dropped as low as 64.53 cents a lb and was down 0.73 cents, or 1.1 percent, at 65.32 cents a lb at 12:45 pm EDT (1645 GMT). The following deals reported: 600 bales of cotton from Gojra sold at Rs 5750-5775, 400 bales from Burewala at Rs 5700 and 400 bales from Hasilpur at Rs 5750-5775, dealers 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"
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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 25.07.2014
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37.324 Kgs        5,800       155         5,955        5,955            NIL
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Equivalent
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40 Kgs            6,216       155         6,371        6,371            NIL
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