Prices stabilised on the cotton market on Monday in the process of improved business activity, dealers said. The official spot rate maintained overnight level at Rs 8,900, they added. Prices of seed cotton in Sindh were at Rs 3700-4200, in the Punjab seed cotton prices were at Rs 3700-4300 and in Balochistan, rates of seed cotton were at Rs 3800-4300, they said. In the ready session, over 13,000 bales of cotton changed hands between Rs 8500-9150, they said.
Market sources said that volume of business expanded as leading mills lay hands over the fine quality to replenish their stock. Besides, cotton buyers were willing to see dollars' further gain against the local currency, which will give a boost to textile items and it also observed that short supply is helping rates to stabilise, they said.
The marketmen were hoping for positive developments on the economic front particularly from China and the International Monetary Fund (IMF). Cotton analyst, Naseem Usman said that a kind of dullness prevailed on the global market due to lack of motivating factors. Rates of cotton were lower on the international market, they said.
The following deals reported: 2400 bales of cotton from Nawabshah at Rs 8500, 400 bales from Khairpur at Rs 8700, 600 bales from Rohri at Rs 8700, 400 bales from Ghotki at Rs 9150, 1000 bales from Rahim Yar Khan at Rs 9100, 1200 bales from Sadiqabad at Rs 9100, 2400 bales from Rajanpur at Rs 8700/9050, 2000 bales from Mianwali at Rs 8725/8900, 1600 bales from Yazman Mandi at Rs 8800/8825 and 1200 bales from Layyah at Rs 8700, they said.