Trading remained grade selective while buyers made deals for better grades of lint on sellers’ asking price amid firm spot rate. Volumes remained moderate, 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 8,400 per maund.
Buyers bought all grades at around Rs 7,975 per maund to Rs 8,375 per maund and deals for fine and second grade lint for blending purpose remained sound that changed hands at around Rs 8,400 per maund and Rs 8,300 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 8,425 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 Multan changed hands at Rs 8,275 per maund, 200 bales of Sanghar at Rs 8,475 per maund, 200 bales of upper Sindh at Rs 8,300 per maund and 200 bales of southern Punjab at Rs 8,450 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 8,000 per maund to Rs 8,525 per maund while ginners of Sindh offered raw grade of lint to the buyers around Rs 6,000 per maund, depending on trash level.
New York Cotton December Futures 2018 contract closed slightly up at 82.50 cents per pound, March Futures 2019 contract at 82.39 cents per pound and Cotlook A Index was hovering at 87 cents per pound.
Source: The Daily Times, India Friday, 12 October 2018