Cotton Buying Picks Pace (Pakistan)

Revival of buying interest helped cotton prices move higher on Wednesday as some needy spinners rushed back to replenish their stocks.

Some quality lots quoted at higher prices were readily picked up by spinners. Although some deals were materialised at Rs8,000 per maund, the Karachi Cotton Association (KCA) kept its spot rates steady at the overnight level.

The ginners are also keen to dispose of their stocks fearing weight loss due to heatwave.

According to market sources, around 100 spinning units are presently not operating but still there is a demand for cotton.

The cotton market keeps behaving erratically amid spells of buying and selling. With a tight money circulation in the markets, credit deals mostly face payments delays.

The world leading cotton markets showed a mixed trend with Chinese cotton closing easy, while the Indian cotton stood steady. The New York contracts also showed a mixed price trend.

Trading on the ready counter gained momentum and following deals were reported to have changed hands: 600 bales, Mirpur Mathilo, at Rs8,000; 1,000 bales, Kandyaro, at Rs6,750; 400 bales, Rohri, at Rs6,650; 1,000 bales, Sakrand, at Rs6,500; 400 bales, Hyderabad, at Rs6,250; 200 bales, Fazilpur, at Rs8,000; 400 bales, Alipur East, at Rs7,100; 900 bales, Lodhran, at Rs7,000; 600 bales, Haroonabad, at Rs6,225-6,400 and 1,900 bales, Tonsa Shareef, at Rs6,200.