A kind of firmness prevailed on the cotton market on Wednesday in the process of moderate buying by mills, dealers said. The official spot rate extended overnight gains, picking up Rs 50 to Rs 6200, they said. In ready session nearly 4800 bales of cotton changed between Rs 6350 and Rs 6400, they said. In Sindh, seed cotton prices were at Rs 3200-3250, in Punjab, rates were at Rs 3000-3250, they said.
Cotton analyst, Naseem, Usman said that trading activity improved as both mills and spinners indulged in forward buying. If monsoon rains prolong for a long time, which most likely hurt standing crop, propelled mills to make cautious buying, other brokers said. Adds Reuters: ICE cotton futures edged marginally higher on Tuesday ahead of a monthly crop supply and demand report from the U.S. government.
The U.S. Department of Agriculture's World Agricultural Supply and Demand Estimates (WASDE) report is due on Wednesday. Cotton contracts for December settled up 0.38 cent, or 0.56 percent, at 67.67 cents per lb. It traded within a range of 66.72 and 67.79 cents a lb. The following deals reported: 400 bales of cotton from Hyderabad sold at Rs 6350, 1000 bales from Tando Adam at Rs 6350, 400 bales from Kotri, 800 bales from Sanghar, 1000 bales from Shahdadpur all done at Rs 6350/6375, 800 bales from Mirpurkhas at Rs 6350/6400 and 200 bales from Sinjoro at Rs 6375, they added.
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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 1-1/16"
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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 11.07.2017
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37.324 kg 6,200 135 6,335 6,285 + 50/-
Equivalent
40 kgs 6,645 145 6,790 6,736 + 54/-
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