Trading activity improved on the cotton market on Tuesday, which helped the rates to retain overnight gains, dealers said. The official spot rate was unchanged at Rs 5,250, dealers said. In Sindh, seed cotton prices were unchanged at Rs 2000 and Rs 3000 and in the Punjab, rates held the last levels at Rs 2000 and Rs 3100, they said. In the ready business, around 12,000 bales of cotton finalised between Rs 4200 and Rs 5650, they said.
Some brokers were of the view that despite the fact that positive developments are not visible in any sector, the spinners did forward buying to meet urgent demand. Cotton analyst, Naseem Usman said that textile exports are coming down, besides, cotton yarn is still not in demand, just needy mills and spinners were looking little active toward purchasing.
Reuters adds: Cotton futures fell in light volume on Monday, confined to a tight trading range after data released late Friday showed speculators had built up their largest net long position in 2-1/2 years, discouraging further buying. March cotton on ICE Futures US settled down 0.37 cent, or 0.6 percent, at 63.32 cents per lb. It traded within a range of 63.17 and 64.16 cents a lb. Certificated cotton stocks deliverable as of December 18 totalled 65,238 480-lb bales, unchanged from 65,238 in the previous session.
The following deals reported, 200 bales from New Saeedabad at Rs 5000, 400 bales from Moro at Rs 5350, 200 bales from Gambat at Rs 5350, 800 bales from Khairpur at Rs 5350-5400, 400 bales from Rohri at Rs 5350-5400, 400 bales from Pano Aqil at Rs 5600, 500 bales from Multan (low quality) at Rs 4200-4850, 200 bales from Burewala (low quality) at Rs 4400, 400 bales from Layyah (low quality) at Rs 4600, 200 bales from Samundri (low quality) at Rs 4750, 400 bales from Jahanian (low quality) at Rs 4700-4850, 600 bales from Bahawalpur at Rs 4850-5175, 600 bales from Bahawal Nagar at Rs 5000-5175, 800 bales from Haroonabad at Rs 5150-5300, 600 bales from Fort Abbas at Rs 5225-5300, 200 bales from Ahmedpur at Rs 5300, 400 bales from Rajanpur at Rs 5300, 400 bales from Yazman Mandi at Rs 5300, 435 bales from Fazilpur at Rs 5300, 400 bales from Tonsa Sharif at Rs 5375, 600 bales from Mohammadpur Dewan at Rs 5400, 500 bales from Mian Chano at Rs 5400-5500, 600 bales from Mianwali at Rs 5500-5550, 400 bales from Chani Goth at Rs 5600 and 1000 bales from Rahim Yar Khan at Rs 5600-5650, dealers said.