Islamabad, Pakistan – Business Recorder reports that rising demand by mills, pushed the rates further higher on the cotton market, dealers said. The official spot rate was up by Rs 50 to Rs 5,300, dealers said. In Sindh, prices of seed cotton were inert at Rs 1800 and Rs 2900 and in the Punjab, rates were at Rs 2300 and Rs 3200, they said. In the ready business, over 13000 bales of cotton changed hands between Rs 4175 and Rs 5700, they said.
Some leading brokers observed that the mills started forward buying to save themselves from losses. The supply position is despite the fact that country is importing cotton to keep a balance between demand and supply. Cotton analyst, Naseem Usman said that there was a kind of dullness in the market because of tension in the region. But now it was observed that within a couple of days, activity improves and it looks that price may go up in the coming days.
Reuters adds: Cotton futures inched up on Tuesday as the prior session’s fall to more than one-month lows spurred mill buying, though a sharply stronger dollar prevented any stronger gains. Cotton contracts for March settled up 0.07 cent, or 0.11 percent, at 62.68 cents per lb. It traded within a range of 62.51 and 62.86 cents a lb.
Total futures market volume fell by 13,672 to 16,131 lots. Data showed total open interest fell 801 to 184,593 contracts in the previous session.
The following rates finalised: 600 bales from Shahdadpur at Rs 4175, 1600 bales from Rohri at Rs 5500/5550, 1000 bales from Khanpur Maher at Rs 5600, 1000 bales from Mirpur Mathilo at Rs 5600, 1000 bales from Ghotki at Rs 5600, 600 bales from Bahawalpur at Rs 5325, 400 bales from Ahmedpur at Rs 5350/5375, 600 bales from Yazman Mandi at Rs 5350/5700, 200 bales from Faqirwali at Rs 5400, 200 bales from Hasilpur at Rs 5450, 800 bales from Haroonabad at Rs 5500/5550, 400 bales from Chani Goth at Rs 5550, 600 bales from Jalalpur at Rs 5550, 200 bales from Fazilpur at Rs 5600, 600 bales from Khanpur at Rs 5600/5640, 400 bales from Mohammadpur Dewan at Rs 5650, 1000 bales from Rahim Yar Khan at Rs 5600/5700, 200 bales from Ghazi Ghat at Rs 5675 and 400 bales from Dera Ghazi Khan at Rs 5675, they said.
Source: Business Recorder