As a result of lack of buying interest among mills, trading activity came down on the cotton market on Tuesday, dealers said. The official spot rate was unchanged at Rs 4,850, dealers said. In the ready session, around 5,000 bales of cotton changed hands between Rs 4000 and Rs 5100, they said. The seed cotton rates in Sindh were at Rs 1800 and Rs 2350, in Punjab prices were inert at Rs 2000 and 2650, they said.
Some analysts said that no buying interest was seen among the traders, which caused slight decline in rates. Cotton analyst, Naseem Usman said the mills showed interest in purchasing of fine quality at their psychological levels, but ginners, who were suffering from loss due to high cost of production, preferred to adopt wait-and-see attitude. Other brokers said that polyester fibre rates slid owing to decline in the oil prices the world over, as a whole trend in the market is bearish.
Reuters adds: The NY cotton market was closed on Monday due to the Martin Luther King Jr. holiday. The following deals reported: 400 bales of cotton from Tando Adam at Rs 4100, same figure from Moro at Rs 4800, 1000 bales from Shahdadpur at Rs 4000-4900, 600 bales from Vehari at Rs 4600-4825, 400 bales from Fort Abbas at 4850, same figure from Faqirwali, 200 bales from Kachiwala at the same price, 600 bales from Ahmedpur at Rs 4900, 400 bales from Mianwali at Rs 4975 and 600 bales from Dera Gazi Khan at Rs 5100, they added.