KARACHI: Shrinking
stocks of better grades of lint kept quality conscious buyers to make deals for
immediate use of the commodity during trading session in Punjab and Sindh
stations.Meanwhile, buyers bought better grades of lint on premium prices to
strengthen their long positions while spinners made forward deals during
trading session in Sindh and Punjab stations. Physical prices remained firm of
all grades of cotton that kept market’s sentiments in the positive while bottom
line prices stood steady. Buyers also made forward deals for second grade of
lint at around Rs 6,575-Rs 6,600 per maund.
Demand for better grades of
cotton would remain on the higher side in coming trading sessions as mills and
spinners stockpile better grades for blending purposes. Option for import on
quality matter remained in strong consideration while international-domestic
price parity favoured import. Secondary buyers purchased all grades of lint at
around Rs 6,100-Rs 6,150 per maund. Sellers withholding better grades of lint
remained in the driving seat as stocks of better grades of lint were shrinking.
General prices of commodity
would stand firm in coming trading sessions on back of demand for all grades of
lint by leading and secondary buyers, experts remarked. Arrival of better
cottonseed at the ginneries would likely keep general prices in depression.
Buyers made one month forward deals at around Rs 6,350-Rs 6,375 per maund.
Paucity of better grades kept buyers selective while sellers kept maintaining
their price level on the higher side on shrinking of better grades at the
ginneries.
Private sector commercial
exporters made deals at Rs 6,000-Rs 6,200 per maund. Raw grades of lint changed
hands at Rs 5,975 per maund, depending on trash level during trading session.
Around 3,600 cotton bales changed hands while ex-gin price remained firm at Rs
6,450 per maund.In kerb market, trading took place in the range of Rs 6,100-Rs
6,175 per maund. New York Cotton December Futures 2017 contract closed at
around 69 cents per pound, March Future 2018 contract at 69.09 cents per pound
and Cotlook A Index was hovering at 85 cents per pound.
Source: Business Recorder, Pakistan Friday, 17 November 2017