20000204

Cotton spot rates raised again

RECORDER REPORT

KARACHI: Rising trend in cotton prices has tended spinners to lift in big lots and even on credit at higher stake, brokers said. They added that TCP's resolve to stick to exports only, in view of the fact that it had already started accepting bids from importers, speaks volume.

Meanwhile, official spot rates of cotton were raised again particularly those of two quoted superior varieties Ñ K-68 was up by Rs 40.25 to Rs 22.25 and MNH-93 up by Rs 57.50 to Rs 2263.75 with sales tax.

Big lot buying was very apparent on the market Ñ one being 5006 bales Ñ showing spinners expediency. However, prices ruled between Rs 1600 and Rs 2000 Ñ though cotton changing hands at Rs 2000 was on credit.

In New York cotton futures were mixed Ñ front months were down while the rest were higher. Spot March was down 0.9 cent to 57.04 cents a pound after trading between 57.50 and 56.90 and May was down 0.2 cent to 58.51 after trading between 58.90 and 58.35 cents a pound.

Local prices are bound to have affected by TCP decision to export only Ñ initially it has already accepted bids to export 23,000 bales of Afzal and Alaqa to US, UK and Italy.

Meanwhile private sector exporters, registered for exports another 1885 bales to Bangladesh, Taiwan and 2352 bales were registered for unspecified destination.

Following deals were noted: 600 bales of Shahdadpur at Rs 1600, 200 bales of Jhol at Rs 1750 (seed stuff), 200 bales of Bandi at Rs 1580, 200 bales of Shujabad at Rs 1700, 200 bales of Liaquatpur at Rs 1800, 5006 Rahimyar Khan at Rs 2000 (credit), 500 bales of Rajanpur at Rs 2000 (credit), 2000 bales of Bahawalpur at Rs 1900 and 1000 bales of Ahmadpur East at Rs 1900.

KCA SPOT RATES

Niab Rs 1937.50

K-68 Rs 2225.00

MNH-93 Rs 2263.75

CAKE FUTURES

Rising trend was marked on the forward trading in cottonseed oilcake market on Thursday amid low business volume.

The ruling March contract commenced unchanged at Rs 333.40 and in the subsequent trading it rose sharply by Rs 1.50 to claim to be the highest at Rs 334.90. Later trading depressed and it lost the gain to turn lowest at Rs 333.40. However it gained Rs 1.40 before closing at Rs 334.80, to depict a rise of Rs 1.40.

The distant, May contract opened also unchanged at Rs 364.20 and in the subsequent trading rose by Rs 2.10 to claim to be the highest at Rs 366.30. Later trading depressed and it dipped by Rs 2.10 to turn lowest at Rs 364.20, and wound up Rs 1.60 higher to close at Rs 365.80 to show a rise of Rs 1.60.

Trading activity turn low and turnover estimated at 500 lots.

MARCH VAIDA

Last Closing Rs 333.40

Thursday's Opening Rs 333.40

Highest Rs 334.90

Lowest Rs 333.40

Closing Rs 334.80

MAY VAIDA

Last Closing Rs 364.20

Thursday's Opening Rs 364.20

Highest Rs 366.30

Lowest Rs 364.20

Closing Rs 365.80