KARACHI: Cotton prices moved higher on strong demand for quality lint on Monday. However, activity remained restricted due to short supply of lint stocks.

After losing ground during last fortnight, cotton prices once again picked up. It was interesting tonote that prices once again moved beyond Rs7,000 per maund, with the highest rate quoted at Rs7,500 per maund.

However, short supply of quality cotton owing to falling cotton stocks restricted activity, leaving many spinners disappointed.

The cotton yarn market also started to show some signs of activity whichinduced sentiment.

According to market sources, both the cotton yarn and grey fabric markets have started to revive, generating activity in the lint market.

The world leading cotton markets were also firm on Monday.

Although cotton prices on ready counter moved higher up to Rs7,500 per maund, the official Karachi Cotton Association (KCA) spot rates were unchanged at Rs6,900 per maund.

The following deals were reported to have changed hands on ready counter: 200 bales, Ghotki, Rs7,500; 600 bales, Pul Bagar, Rs7,000; 200 bales, Jalalpur, Rs6,700; and 200 bales, Multan, Rs6,700.