RECORDER REPORT | 11 Aug 2019
KARACHI: Not a single deal reported on the cotton market on Saturday in the process of trading activity, dealers said.
The official spot rate was unchanged at Rs 7750, they added. In ready session, as a result of less buying interest, not a single deal finalised ahead of Eid holidays, they said. Rates of seed cotton per 40kg in Sindh were higher at Rs 3100-3400, in Punjab prices were at Rs 3300-3700, they said. In Balochistan, seed cotton prices were at Rs 3500-3600, they said.
In Sindh and Punjab, Binola prices per maund were at Rs 1500-1600, they said and adding that polyester fibre per kg rates were at Rs 192. According to market sources, a kind of dullness prevailed in the market as most of participants were on the sidelines owing to less buying interest.
Cotton analyst, Naseem Usman said that in fact main buyers have already covered their long position, so that they are out of the market. Commenting on the rainfall in the country, he said that if the rainy season continued further, this factor may be harmful for the standing crop. Furthermore, the ginners did not want to sell cotton at present levels, because they feel that prices to recover modest ground in the near future, other broker said.
Adds Reuters: ICE cotton futures fell for the first time in four sessions on Friday, after US President Donald Trump said that the United States and China might not make a trade deal for now, ahead of the monthly supply/demand report.
The most-active cotton contract on ICE Futures US, the second-month December contract, fell 0.38 cent, or 0.64%, at 59.20 cents per lb as of 1:40 p.m. EDT (1740 GMT). Total futures market volume fell by 13,086 to 13,343 lots. Data showed total open interest gained 1,337 to 211,839 contracts in the previous session. (Source: Business Recorder)