Prices maintained a firm posture on the cotton market on Friday on sustained buying of best quality, dealers said. The official spot rate was unchanged at Rs 8,800, they added. In the ready session, 5000 bales of cotton finalised between Rs 7750-9000, they said. Prices of seed cotton in Sindh were at Rs 3000-3500 and in Punjab seed cotton prices were at Rs 3000-3600, they said.
Market sources said that persisted demand for fine variety pushed the rates firm in the process of trading activity. Cotton analyst, Naseem Usman said that sustained demand amid tight supply did not allow the rates to move any side and tight supply may push the rates further higher, but with slight pace. The country is going to achieve nearly 10.8 million bales of cotton target, he observed.
Cotton sowing is going well despite shortage of irrigation water, he said and adding that the prices of cotton will fluctuate modestly in the coming days. In the world market, cotton prices were mostly firm due to sustained demand. Reuters adds: ICE cotton futures fell to a one-week low on Thursday, weighed down by a stronger dollar, however positive export sales report from the US Department of Agriculture (USDA) limited further decline.
The front-month cotton contract on ICE Futures US settled down 0.64 cent, or 0.82 percent, at 76.98 cents per lb. The contract fell to its lowest level since April 4, at 76.86 cents per lb. Total futures market volume rose by 5,041 to 55,907 lots. Data showed total open interest fell 2,082 to 219,456 contracts in the previous session.
The following deals reported: 900 bales of cotton from Ghotki at Rs 8900-9000, 600 bales from Khanpur at Rs 8950, 400 bales from Khanpur Mehar at Rs 9000, same figure from Sanghar at Rs 7750, 100 bales from Rahim Yar Khan at Rs 8900-9000, 400 bales from Hasilpur at Rs 8725, 634 bales from Nurpoor Nooranga at Rs 8375 and 200 bales from Adilpur at Rs 8800, 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 1-1/16"
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 11-04-2019
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37.324 kg 8,800 160 8,960 8,960 Nil
Equivalent
40 kgs 9,431 171 9,602 9,602 Nil
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