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Cotton prices turn firmer

RECORDER REPORT

KARACHI: Prices turned firmer on the cotton market in view of the nearly panic buying on the perception of market going bullish, brokers said. The buyers have been concerned over TCP salesmanship leading to getting near 45 cents a pound, they added.

The rates committee revised Niabs' official spot rate substantially on the higher side by Rs 57.50 to Rs 1822.50 with sales tax. The K-68 however was unchanged at Rs 2052.50 and MNH-93 at Rs 2079.75, with sales tax.

In physical trading, prices rose by Rs 50. Thus, the prices ruled between Rs 1575 and Rs 1850, without sales tax.

Cotton futures had some marginal gains on New York Cotton Exchange (NYCE). The spot March gained 0.07 cent to 55.47 after trading between 56.50 and 55.41 cents a pound. The key May rose by 0.30 cent to 57.93 after trading between 58.60 and 57.82 cents a pound.

Exporters registered 1040 bales for Bangladesh.

Exporters of value-added products are making hue and cry that exports have been declining. They said fabrics exports were down by 33 perent. Cloth exporters from Faisalabad have joined CTA etc who have urged the government to make sure that cotton yarn is available at reasonable rate to local industry to boost exports.

Following deals were reported: 200 bales of Mirpurkhas at Rs 1425 (bought by exporters); 500 bales of Shahdadpur at Rs 1775; 200. bales of K-68 Setharaja at Rs 1675 (exporters); 500 bales of Chundko at Rs 1650; 600 bales of Rahimyar Khan at Rs 1800 (Karachi delivery); 500 bales of Khanpur at Rs 1850; 200 bales of Bagho Bahar at Rs 1850; 1000 bales of Muridwala at Rs 1750; 500 bales of Vehari at Rs 1800; and 500 bales of Karore Pacca at Rs 1800.

KCA SPOT RATES

Niab Rs 1822.50

K-68 Rs 2052.50

MNH-93 Rs 2079.75

CAKE FUTURES

Futures turned weaker on the forward cottonseed oilcake market on Friday amid good bit of business.

The ruling March contract commenced unchanged at Rs 335.50 and was also highest at this level. Later trading depressed and it lost 70 paisa to turn lowest at Rs 334.80 and was seen closing at the same amount to depict a loss of 70 paisa.

The May contract opened 20 paisa lower at Rs 366.30 but in the process of trading it gained 30 paisa to claim to be the highest at Rs 366.60. Later it lost Re 1 to turn lowest at Rs 365.60 and closing was also seen at this level to depict a loss of 90 paisa.

Business was large and turnover estimated at 600 lots.

MARCH VAIDA

Last Closing Rs 335.50

Friday's Opening Rs 335.50

Highest Rs 335.50

Lowest Rs 334.80

Closing Rs 334.80

MAY VAIDA

Last Closing Rs 366.50

Friday's Opening Rs 366.30

Highest Rs 366.60

Lowest Rs 365.60

Closing Rs 365.60