A cautious buying by needy spinners seen on the cotton market on Saturday ahead of the Pakistan Cotton Ginners Association (PCGA) report, dealers said. The official spot rate halted further erosion at Rs 5,200 dealers said. In the Punjab prices were at Rs 2400 and Rs 3000, they said. In the ready business, nearly 4,000 bales finalised between Rs 5100-5500, they said. Some brokers said that supply position is tight, so needy spinners finalised deals of fine quality to meet export consignments.
Cotton analyst, Naseem Usman said that phutti arrivals in the PCGA report are expected only 4 lakh bales, which are short in demand. Commenting on the shortage of fine quality, some analysts said that it looks that country has to import more cotton as delay in early sowing caused short supply position.
Reuters adds: cotton futures rose for a third straight session to the highest in nearly four weeks on Friday, notching the biggest weekly gain in over four months, on a technical rally as investors covered bearish bets. The contract ended the week up about 2.56 percent, the biggest weekly gain since the week ended November 27 last year. Total futures market volume rose by 4,850 to 41,537 lots. Data showed total open interest gained 876 to 219,230 contracts in the previous session. The following deals finalised: 1000 bales of cotton from Mianwali at Rs 5100, 200 bales from Muhammadpur Dewan at the same rate, 400 bales from Layyah at Rs 5150, 200 bales from Bureawala at Rs 5350, 400 bale from Rajanpur at Rs 5500 and 1200 bales from Rahim Yar Khan at the same rate, they said.

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The KCA Official Spot Rate for Local Dealings in Pakistan 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 01-04-2016
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37.324 kg          5,200      135         5,335        5,335            NIL
Equivalent
40 kgs             5,573      145         5,718        5,718            NIL
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