LAHORE: The Spot Rate remained unchanged on Friday. The local market remained steady and the trading volume remained low.
Cotton Analyst Nasseem Usman while talking to Business Recorder said that price of Punjab’s Phutti attracted per 40 kilograms prices from Rs 7000 to Rs 8600. Cotton of Sindh was traded from Rs 15500 to Rs 20,000 per maund, Punjab’s cotton was traded from Rs 16500 to Rs 20,000 per maund. He told that 1200 bales of Rahim Yar Khan were sold at Rs 19500 per maund.
He also told that 1000 bales of Ghotki were sold at Rs 19500 per maund, 400 bales of Chichawatmi were sold at Rs 19400 per maund, 800 bales of Fort Abbas were sold at Rs 18500 per maund, 600 bales of Faqeer Wali were sold at Rs 18500 per maund, 600 bales of Haroonabad were sold at Rs 18000 per maund and 1385 bales of Hasil Pur were sold at Rs 18000 per maund.
ICE cotton futures fell more than 1% on Thursday as a surge in the U.S. dollar overshadowed a weekly federal report that showed higher export sales of the natural fibre.
The March contract on ICE futures was down 0.97 cent, or 0.8%, at 121.36 cents per lb, by 11:10 a.m. EST. It traded within a range of 120.85 and 122.14 cents a lb.
“It’s all due to the dollar. Sales were outstanding but was more or less priced in,” said Rogers Varner, president of Varner Brokerage in Cleveland, Mississippi.
“Demand for US cotton is very good. It’s been good since mid-July we can’t deny that. Price may see a setback just a little bit, but it’s going to be well supported around $1.18. The market believes that the carryout is a lot lower.”
The dollar soared to its highest levels since July 2020 against other major currencies on Thursday, powered by bets the Federal Reserve could deliver faster and larger interest rate hikes in the months ahead.
The US Department of Agriculture’s weekly export sales report showed net sales of 391,300 running bales of cotton for 2021/2022, up 43% from the previous week and 55% from the prior four-week average.
Total futures market volume fell by 11,193 to 13,706 lots. Data showed total open interest gained 1,802 to 253,790 contracts in the previous session.
The Spot Rate remained unchanged at Rs 19400 per maund. Polyester Fiber was available at Rs 263 per kg.
Copyright Business Recorder, 2022
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