Cotton prices up on sustained buying

Prices moved up slightly on the cotton market on Saturday on sustained buying by spinners and mills, dealers said. The official spot rate stayed put at Rs 6100, they said. In the ready session, nearly 23,000 bales of cotton changed hand between Rs 6000-6325, they said. In Sindh, seed cotton prices were at Rs 2600-2800 and in Punjab rates were at Rs 2600-2900 as per 40 kg, they said.

Market sources said that prices were stable as the ginners were not willing to make any deal at the present levels in expectations of more rise in days to come. Sustained buying by mills and spinners pushing rates up and it looks that prices may go up further in the coming days, cotton analyst, Naseem Usman said. In fact, sellers were on the sidelines on lack of buying interest, he observed.

Adds Reuters: ICE cotton futures touched a contract high on Friday on concerns that hurricane Irma, now headed towards Florida, could hurt the natural fibre crops in Georgia and South Carolina. Cotton contracts for December settled up 0.32 cent, or 0.43 percent, at 74.59 cents per lb. It traded within a range of 74.04 and 75.75 cents a lb. Total futures market volume rose by 9,361 to 35,659 lots. Data showed total open interest gained 3,134 to 241,118 contracts in the previous session.

The following deals reported: 1000 bales from Mirpurkhas at Rs 6000/6100, 200 bales from Matyari at Rs 6050, 300 bales from Tando Adam at the same rate, 1000 bales from Hyderabad at Rs 6050/6100, 1000 bales from Kotri at the same rate, 400 bales from Maqsoodo at Rs 6100, 400 bales from Hala at Rs 6075, 1400 bales from Tando Adam at Rs 6050/6100, 1600 bales from Sanghar at Rs 6050-6100, 3000 bales from Shahdadpur at 6050/6100, 3000 more bales from Nawabshah at Rs 6150-6200, 800 bales from Khairpur at Rs 6150-6200, 200 bales from Layyah at Rs 6200, same figure from Hasilpur at Rs 6250, 400 bales from Mian Chano at Rs 6300, 600 bales from Haroonabad, same figure from Vehari, 200 bales from Pir Mehal, 400 bales from Mianwali, 200 bales from Jalalpur, 400 bales from Dera Gazi Khan, same number from Fazilpur, 200 bales from Chistian, 400 bales from Chichawatni, 600 bales from Burewala all finalised at the same level and 1400 bales from Khanewal at Rs 6300-6325, dealers said.