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Cotton market: prices on decrease

RECORDER REPORT

KARACHI: Prices came under pressure on the local cotton market on Thursday amid modest activity, following the declining trend in international markets brokers said.

Official spot rate for Niab was lower by Rs 28.75 to Rs 2,225.00, K-68 lost Rs 17.25 to Rs 24.09.00 and MNH-93 shed Rs 18.25 to Rs 2447.75.

In psychical trading, cotton prices ranged from Rs 1,825 to Rs 2,060.

Cotton futures in New York plummeted sharply. The spot May contract shed 1.20 cents to 57.95 cents to a pound and July contract lost 1.21 cents to 59.47 cents.

Market operators said that trading was low because all major players were anxiously waiting for cotton policy in their favour or otherwise, in a couple of days.

The operators hope that a cotton policy will offer solace to all the segments of cotton and textile industry.

Transactions of the day were: 925 bales from Noabad at Rs 1,825/1,900, 1,000 bales from Burewala sold at Rs 2,025, 200 bales from Karoorpaka at Rs 2,000, 400 bales from same station at Rs 2,060, 400 bales from Khanpur at the same level and 200 bales from same station finalised at Rs 2,000.

KCA SPOT RATES

Niab Rs 2225.00

K-68 Rs 2409.00

MNH-93 Rs 2447.75

CAKE FUTURES

Contracts were higher on the forward cottonseed oilcake market on Thursday due to a slight increase in local demand.

The May vaida commenced with a gain of 10 paisa at Rs 375.70 which proved to be day's lowest. Later, it picked up 60 paisa to be day's best at Rs 376.30 and closing was seen at Rs 375.80 to show a rise of 20 paisa for the day.

The July vaida opened 90 paisa higher at Rs 390.50, which also proved to be day's bottom. In process of sluggish business, it picked up Rs 1.40 to be day's highest at Rs 392.00. The market closed at Rs 391.40 to depict a gain of Rs 1.80 for the day.

Activity was modest and turnover estimated 600 lots.

MAY VAIDA

Last Closing Rs 375.60

Wednesday's Opening Rs 375.70

Highest Rs 376.30

Lowest Rs 375.70

Closing 375.80

JULY VAIDA

Last Closing 389.60

Wednesday's Opening Rs 390.50

Highest Rs 392.00

Lowest Rs 390.50

Closing Rs 391.40