KARACHI: The traded volumes of second grade of lint remained on higher side while forward deals also changed hands for better grades, fibre traders said. Firmness of physical prices provided weak sellers to fetch better bottom-line price, they added.
Buyers with less liquidity bought better grades according to their immediate need while weak sellers withholding raw grade of lint offloaded their stocks on better price-parity level, floor brokers said.
Lint market sentiments remained firm on forward trading, traders at the Karachi Cotton Association (KCA) said.
KCA kept the spot rate at Rs 6,050 per maund in order to help weak stakeholders withholding raw grades to ward off minimal price level, said floor brokers.
During the trading session, mills in Sindh and Punjab stations bought second grade of lint at around Rs 6,625 per maund, while sellers offered all grades of lint at around Rs 6,000 per maund to Rs 6,700 per maund in order to capitalise maximum returns on their proceeds, floor brokers said.
Spinners in Sindh and Punjab stations made deals on competitive price at around Rs 6,050 per maund to Rs 6,575 per maund while secondary buyers made deals for all grades in Punjab and Sindh stations at around Rs 6,000 per maund to Rs 6,175 per maund, floor brokers said.
Sellers withholding better grades of old crop offered produce in modest quantity on better price, said Shakeel Ahmad a fibre analyst. Due to cotton output decline by more than 2 million bales crop season 2017-17, buyers are eyeing on imports.
In Sindh and Punjab stations more than 900 bales changed hands with more than 60 percent of Punjab’s share in trading. New York October Futures contract 2017 stood at around 70 cents per pound, December Future 2017 contract at 71 cents per pound and Cotlook A Index was hovering around 85 cents per pound.
