KARACHI: Buyers bought better grades of lint in anticipating shrinking of better grades and increase in prices of the commodity during trading session at leading stations of Punjab and Sindh. Increasing trend in dollar is also a factor that has impact prices of cotton while grade related demand remained on higher side. Buyers bought better and second grade of cotton on premium price at around Rs 6,900 per maund and Rs 6,875 per maund respectively. The ginners remained on driving seat and capitalised their deals on higher prices on back of quality and demand during trading session at major stations of Punjab and Sindh. Spinners remained frenzy for better grades of cotton and made deals at around Rs 6,775 per maund and Rs 6,800 per maund in order to strengthen their inventories. Demand for better grades of lint would likely to keep sellers on driving seats until arrival of imported 150,000 cotton bales reaches.
Buyers also made forward deals for a month delivery period in order to fortify their inventories during trading session at Punjab and Sindh stations. Secondary buyers made deals for normal quality of cotton at around Rs 6,350 per maund to Rs 6,375 per maund during trading session in Sindh and Punjab stations. Physical prices would remain firm on demand for all grades of cotton that would keep market’s sentiments in positive while bottom line prices likely to stand in firm frame. Private sector commercial exporters made deals at Rs 6,375 per maund to Rs 6,425 per maund. Raw grades of lint changed hands at Rs 5,975 per maund depending on trash level during trading session. More than 1,800 cotton bales changed hands while ex-gin price per maund remained firm at Rs 6,800 per maund. In Kerb market trading took place in a range of Rs 6,575 per maund to Rs 6,625 per maund. New York Cotton December Futures 2017 contract closed at around 74.70 cents per pound, March Future 2018 contract at 74.91 cents per pound and Cotlook A Index was hovering at 85 cents per pound.
Published in Daily Times, December 15th 2017.