Cotton trading activity remain slow over rising prices and supply concerns

Shortage of quality cotton coupled with depleting cotton stocks have started to affect on trade volume, keeping trading activity dawdling at cotton market on Thursday. Both buyers and sellers took to the sidelines amid rising prices. Barring a couple of deals, the market conditions remained dull.

Big spinners have also reportedly slowed down their imports. On the domestic front, the trading ring gave a deserted look.

Ginners on their part are also holding back their limited stocks in order to get higher rates in the coming days, brokers said. High cotton prices the world over have put the textile industry in dismay, brokers added.

Buyers fear that if they pick cotton at current high rates and later prices come down, this would disturb their viability in the world market.

Major deals that changed hands as per dealers on the ready counter were: 3,000 bales from Rahimyar Khan at Rs7,000 and 2,400 bales from Harooabad at Rs6,800.

However, the Karachi Cotton Association kept its spot rates unchanged.

Among world cotton markets, the New York market remained under profit-selling, while China and India were steady.

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