960422

Inactive lifting lowers

prices on cotton market

RECORDER REPORT

KARACHI: Official spot rates of cotton had the second retreat of the week on Monday amid fairly modest business from current trading standard. However, floor brokers called the cut as necessary to check the superfluous growth.

The prices in physical lifting have remained on the higher side, where activity would resume after Eid-ul-Azha holidays. But market sources hoped that prices would try to go up to Rs 2,525 and more.

In any case, spot rates, under the pressure of low purchases, were again slashed uniformity by Rs 15. Thus Niab was quoted at Rs 2210, K-68 to Rs 2,380 and MNH-93 at Rs 2,430. The rates in ready on Monday were between Rs 2,125 and Rs 2,400, while they ruled on Sunday between Rs 2,350 and Rs 2,355.

The New York cotton futures rates were not at hand due to weekly closures.

As assumed earlier, only unsound spinners are market visitors, because they just cannot help it. On the other hand, others have been trying exporters of cotton abroad for a gainful deal. Roughly around one million bales of cotton is claimed to be imported to meet total needs of the spinners. The leftover stock of cotton around 320,000 bales with the ginners carry prices unacceptable to the spinners.

Exporters have bought from different sources over 1,700,000 bales. They are not interested in buying. Contrarily, some of them with excess stock are unloading. However, some 900 bales more were registered with the EPB, taking the total contracts to 2,320,189 bales. The total number of bales exported to over dozens of destinations remained stuck up at 1,750,034 bales.

Following deals were strucks till we could keep contact with the market. They were 200 bales of Sakrand at Rs 2,125, 659 bales of Mirpur Mathelo at Rs 2,380, 600 bales of Mailsi at Rs 2,425, 400 bales of Sadiqabad at Rs 2,400, 232 bales of Duniapur at Rs 2,250, 100 bales at Rs 2,150 and 100 bales of Rs 2,000, 350 bales of Alipur at Rs 2,400 and 600 bales of Bahawalpur at Rs 2,350.

KCA SPOT RATES

(1995-96 CROP PER MAUND)

Niab Rs 2210.00

K-68 Rs 2380.00

MNH-93 Rs 2430.00

CAKE FUTURES

Contracts moved both ways on the forward cottonseeds oilcake market on Monday, where activity was slow due to less demand.

The May vaida commenced unchanged at Rs 247.00. Later, it picked up 50 paisa to be day's best at Rs 247.50. Amid bout of buying and selling, it showed sizeable loss of Rs 2 and market closed at the same amount to depict a fall of Rs 1.5 for the day.

The next July delivery opened 40 paisa better at Rs 269.6. In the process of trading, it managed to gain Rs 1.1 to be day's highest at Rs 270.7. Later, it lost Rs 1.7 to be day's bottom at Rs 269, and closing was seen at Rs 269.3 to show a slight rise of 10 paisa. As a result, its forward badla worked out to Rs 23.8 for the day.

Business was not much active and turnover was estimated 700 lots.

MAY VAIDA

Last Closing Rs 247.00

Monday's Opening Rs 247.00

Highest Rs 247.50

Lowest Rs 245.50

Closing Rs 245.50

JULY VAIDA

Last Closing Rs 269.20

Monday's Opening Rs 269.60

Highest Rs 270.70

Lowest Rs 269.00

Closing Rs 269.30