Not a single deal reported on the cotton market on Wednesday as the spinners preferred to remain on the sidelines owing to rise in prices, dealers said. The official spot rate was unchanged at Rs 7,500, they added. In the ready session, no deal finalised till our going to the press, they said.
Prices of seed cotton in Sindh are available at Rs 3900-4050, they said.
Cotton analyst, Naseem Usman said that leading spinners kept on the sidelines as prices not matching with their psychological levels. Some brokers attributed the listless business to higher rates as growers showed reluctant in selling the new crop below their psychological levels. So, the ginners also adopted a wait-and-see behaviour to observe the development, other brokers said. On the other hand, the spinners tried to lay hand over the fine type but the ginners did not oblige them in anticipations of increase in the rates.
Arrivals of seed cotton are slow as sowing is still continue in the cotton belt, it is most likely that if cotton production not increases during the current season, prices to go up in the coming days, they said. In the international market, cotton prices drifted lower due to less buying interest, they said.