Trading remained grade selective while buyers made deals for better grades of lint on sellers’ asking price amid firm spot rate. Volumes remained thin, fibre traders said.
Forward deals also changed hands that kept physical prices in green zone. The Karachi Cotton Association (KCA) kept spot rate at Rs 9,300 per maund.
Buyers bought all grades at around Rs 7,775 per maund to Rs 9,475 per maund and deals for fine and second grade lint for blending purpose remained sound that changed hands at around Rs 9,600 per maund and Rs 8,100 per maund respectively on average during trading session.
Mills and spinners consolidated their long positions and made deals for second grade on paying premium price. Prices of all grades of cotton remained under deals-related adjustments.
The shrinking fine lint stocks put general price in firm zone and buyers also made a month period forward deals on slightly higher price at around Rs 7,975 per maund in Sindh and Punjab stations.
The private sector commercial exporters consolidated their long positions and bought stuff from old stocks. The buyers remained selective on grade and consolidated their future positions with old fine lots.
According to KCA, 200 bales of Sanghar changed hands at Rs 9,475 per maund, 200 bales of Multan at Rs 9,000 per maund, 200 bales of upper Sindh at Rs 8,975 per maund and 200 bales of southern Punjab at Rs 9,025 per maund.
In domestic market buyers remained eager for quality lint on the back of growing demand of end products.
The ginners of Punjab offered cotton of all grades to the buyers around Rs 8,675 per maund to Rs 9,675 per maund while ginners of Sindh offered raw grade of lint to the buyers around Rs 6,275 per maund, depending on trash level.
New York Cotton October Futures 2018 contract closed slightly up at 85.16 cents per pound, December Futures 2018 contract at 85.14 cents per pound and Cotlook A Index was hovering at 95 cents per pound.
Source: The Daily Times, Pakistan Saturday, 28 July 2018