Daily Times

KARACHI: The traded volumes of second grade of lint remained moderate while forward deals also changed hands for better grades, fibre traders said. Firmness of physical prices provided weak sellers to fetch better bottom-line price, they added.

Buyers with less liquidity bought better grades according to their immediate need while weak sellers withholding raw grade of lint offloaded their stocks on better price-parity level, floor brokers said.

Lint market sentiments remained firm on forward trading, however volumes remained thin, traders at Karachi Cotton Association (KCA) said.

KCA kept the spot rate at Rs 7,600 per maund in order to help weak stakeholders withholding raw grades to ward off minimal price level, said floor brokers. During trading session, mills in Sindh and Punjab stations bought second grade of lint at around Rs 7,375 per maund, while sellers offered all grades of lint at around Rs 7,500 per maund to Rs 7,775 per maund in order to capitalise maximum returns on their proceeds, floor brokers said.

Spinners in Sindh and Punjab stations made deals on competitive price at around Rs 7,025 per maund to Rs 7,275 per maund while secondary buyers made deals for all grades in Punjab and Sindh stations at around Rs 6,000 per maund to Rs 6,975 per maund.

Sellers withholding better grades of old crop offered produce in modest quantity on better price, said Shakeel Ahmad a fibre analyst. Due to cotton output decline by more than 2 million bales in crop season 2017-18, buyers are eyeing on imports.

In Sindh and Punjab stations more than 600 bales changed hands with more than 60 percent of Punjab’s share in trading. New York July Futures contract 2018 stood at around 87 cents per pound, October Future 2018 contract at 87.10 cents per pound and Cotlook A Index was hovering around 92 cents per pound.

Published in Daily Times, June 21^st 2018.