Prices extended overnight gains on the cotton market on Friday, dealers said. The official spot rate moved up by Rs 200 to Rs 5,950, dealers said. In Sindh seed cotton prices were at Rs 3000-3250 while in Punjab phutti prices were at Rs 3000 and Rs 3300, per 40 kg, respectively, they said. In ready business, around 1200 bales of cotton changed hands between Rs 5350 and 6225, they said.
According to some brokers, prices gained further ground on strong demand as ginners have held the stock of old and new crops in anticipation of sharp increase in days to come. Cotton analyst, Naseem Usman attributed rise in prices to ginners' cautious attitudes toward selling. The ginners in India also adopted the same attitude due to said reason, which helped the rates to continue rise, he added.
Reuters adds: The NY cotton futures were down on Friday. The following deals were reported: 200 bales from Shahdadpur at Rs 6200, same figure from Kotri at the same rate, same number from Sanghar at Rs 6225, 400 bales from Burewala at Rs 5350 and 200 bales from Mailsi at Rs 5475, dealers 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 30-06-2016
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37.324 kg 5,950 135 6,085 5,885 +200
Equivalent
40 kgs 6,377 145 6,522 6,307 +215
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