KARACHI: Buyers remained eager for fine grade at the cotton market on Monday and around 900 bales changed hands. The Karachi Cotton Association (KCA) spot rate remained unchanged at Rs 5,400 per maund.
Floor brokers said that buyers made forward deals in quality lint for a month’s period on slightly higher prices at around Rs 5,575 per maund during the trading session.
Ghulam Rabbani, a senior trader, said buyers and sellers remained entangled in price war on second grade stuff and bought the grade at around Rs 5,200 per maund to Rs 5,300 per maund to cater to their immediate blending need.
The ginning units kept maintaining quality, as textile sector was eager for better grades of lint for future needs. The market is in steady tones and spinners and millers are consolidating their long positions in making deals for fresh fine lots, he added.
According to KCA, 200 bales of southern Punjab changed hands at Rs 5,025 per maund, 200 bales of Hyderabad at Rs 5,050 per maund, 200 bales of upper Sindh at Rs 5,075 per maund and 200 bales of Multan at Rs 5,225 per maund.
New York showed some resistance in futures as the immediate March is going to be in stable position and merger with the May contract would likely benefit. Leading buyers would remain eager to purchase quality lint on slightly higher prices on the back of growing demand of clothes and yarn.
The ginners of Punjab offered cotton of all grades to the buyers around Rs 5,075 per maund to Rs 5,350 per maund while ginners of Sindh offered low-grade lint to the buyers around Rs 4,975 per maund. New York Cotton March future 2016 closed slightly up and stayed at 62.64 cents per pound and May future 2016 closed at 63 cents per pound.
Source: Daily Times