Pakistan Cotton Ginners Association's (PCGA) fortnightly data, showing short crop figures propelled mills to make forward deals, caused further increase in prices on the cotton market on Saturday, dealers said. The official spot rate extended overnight rise, picking up further Rs 50 to Rs 4,850, dealers said. In Sindh, seed cotton prices were higher by Rs 100 to Rs 2400 and Rs 2600 and in Punjab prices went up by Rs 150 to Rs 2300 and Rs 2700, they said.
In the ready business, around 18,000 bales of cotton changed hands between Rs 4600 and Rs 5050, they said. In the late evening, 1000 bales from Rajanpur done at Rs 5100, they said. According to the market sources, it was expected that prices to go up due to short crop news after rains in the country, last month. Cotton analyst, Naseem Usman sharing the same opinion said that after the PCGA report, most of the cautious buyers indulged in panic buying of cotton, and this is factor, which may push the rates further higher in times to come. The fortnightly report issued by the PCGA, showing 11 lac bales less against the last year at 3.1 million bales.
Adds Reuters: ICE cotton fell on Friday as forecasts showed Hurricane Joaquin moving away from the US East Coast, easing fears that the winds and rains associated with the storm could harm yields and quality in the region. December cotton on ICE Futures US settled down by 0.46 cent on Friday, a 0.8 percent loss, at 60.14 cents per pound. It traded within a range of 60.08 and 61.20 cents a pound. Total futures market volume fell by 6,061 to 14,141 lots.
The following deals reported: 1000 bales from Mirpurkhas at Rs 4650, 1200 bales from Shahdadpur at Rs 4700, 1000 bales from Tando Adam, same figure from Sanghar done at the same rate, 2000 bales from Nawabshah at Rs 4900, 200 bales from Vindar at the same rate, 2000 bales from Khairpur at Rs 4950-4975, 1000 bales from Salehpat at Rs 4975, same figure from Rohri at the same rate, 600 bales from Burewala at Rs 4825-4900, 500 bales from Hasilpur at Rs 4900, 600 bales from Ahmedpur at Rs 4900-500, 400 bales from Sahiwal at Rs 4950, 600 bales from Bahawal Nagar, 500 bales from Yazman Mandi, 400 bales from Haroonabad all done at Rs 4950, 800 bales from Fazilpur at Rs 4950-5000, 600 bales from Fort Abbas at Rs 4975, 400 bales from Tonsa Sharif at Rs 5000, 600 bales from Rajanpur, 400 bales from Bakhar, 800 bales from Alipur all done at the same rate and 400 bales from Layyah at Rs 5000-5050, dealers said.