Increase font size Decrease font size Reset font size

Cotton market steady

By Our Staff Reporter 2017-04-05
KARACHI: The cotton market on Tuesday stood steady but activity could not expand as both buyers and sellers have adopted approach. However, undertone was firm and outlook uncertain.

The limited stocl(s held by ginners and delay in arrival of new cotton crop did cause some panic buying from spinners, but trading remained limited due to sluggish demand for yarn on the world market.

Ginners were also reluctant to sell in anticipation of higher prices in the coming days.

The Punjab government, which banned early sowing and imposed Section 144,has now allowed growers to start early sowing of cotton because of the rising mercury.

The US Agriculture Department has estimated 21 per cent higher planting of cotton crop next season and this put pressure on New York cotton market which closed US 1.5 cents lower.

Indian cotton markets remained mixed while Chinese markets remained closed due to festival holidays.

The Karachi Cotton Association left its spot rates unchanged. Major deals on the ready counter were: 400 bales from Rajanpur at Rs6,700, 1,400 bales from Ahmedpur at Rs6,950 and 400 bales from RahimyarKhanat Rs7,000.