Trade Activity On Cotton Market Slows Down

Trade Activity On Cotton Market Slows Down
The volume of business came down on the cotton market on Friday as most of the participants were on the sidelines due to several factors, dealers said. The official spot rate was lower by Rs 50 to Rs 5,550, dealers said. In Sindh, prices of seed cotton were at Rs 3250 and Rs 3300, per 40 kg, they said. In Punjab, gaining Rs 100 to Rs 3100 and Rs 3350, they said.
In ready session, about 1000 bales of cotton changed hands between Rs 5100 and Rs 5400, they said. According to the market sources, usually, trading activity came down on Friday. Emerging factors, propelling mills to refrain from making new deals to observe latest developments, they said. Cotton analyst, Naseem Usman said that the Trading Corporation of Pakistan (TCP) sold nearly 3300 bales of cotton to mills at Rs 6010.
Besides, he said that during the last sessions, mills and spinners become active amid growing fears about short crop. On the other hand, the exporters also have become active to make deals for Indian importers. Reports showing that India has contracted to import cotton from Pakistan for shipment this month after Indian prices jumped because of limited supply,
Adds Reuters: ICE cotton futures rose more than 1 percent on Thursday after an uptick in US export sales and a weaker dollar. The “better-than-expected” export sales report supported cotton prices, according to Peter Egli, director of risk management at British merchant Plexus Cotton. The December cotton contract on ICE Futures US settled up 0.89 cent, or 1.38 percent, at 65.42 cents per lb. It traded within a range of 64.46 cents and 66.15 cents a lb. The following deals reported: 600 bales from Sarhari at Rs 5100 and 400 bales from Ghotki at Rs 5400, they said.