Daily Times

Trading remained selective on grade issue while buyers made deals for second grade stuff on premium price during trading at lint market, traders said.

Forward deals also changed hands for consolidating inventories by leading buyers in Sindh and Punjab stations during trading session, floor brokers said.

Buyers made deals on slightly high price on shrinking better grades of lint that kept general prices in green zone. The Karachi Cotton Association (KCA) spot rate remained intact at Rs 8,700 per maund.

Floor brokers said buyers made deals for all grades besides deals for fine and second grade lint for blending purpose changed hands at around Rs 8,600 per maund to Rs 8,625 per maund during the trading session.

A senior trader, Ghulam Rabbani said mills and spinners strengthened their long positions and purchased better and second grade of lint on premium price.

The shrinking better lint put general price in firm zone and buyers also made forward deals on slightly higher price at around Rs 8,450 per maund in Sindh and Punjab stations. The physical prices remained under correction to provide bottom-line benefit to ginners having low grades.

The private sector commercial exporters bought better grades of lint from buffer old stocks of lint. The buyers remained selective on grade issue and consolidated their future positions with fresh fine lots also, he added.

According to KCA, 200 bales of Bahawalnagar changed hands at Rs 8,250 per maund, 200 bales of Hyderabad at Rs 8,375 per maund, 200 bales of upper Sindh at Rs 8,725 per maund and 200 bales of southern Punjab at Rs 8,700 per maund.

In domestic market buyers remained eager for quality lint on the back of growing demand of end products.

The ginners of Punjab offered cotton of all grades to the buyers around Rs 7,975 per maund to Rs 8,775 per maund while ginners of Sindh offered raw grade of lint to the buyers around Rs 6,000 per maund depending on trash level.

New York Cotton October Future 2018 contract closed at 85 cents per pound, December Futures 2018 contract at 85.12 cents per pound and Cotlook A Index was hovering at 92 cents per pound.

Published in Daily Times, August 16^th 2018.