Moderate buying seen at lint market with firm phsical price

Moderate buying was seen at lint market while physical price stood firm, said floor brokers. According to traders at the Karachi Cotton Association (KCA) some buyers made deals on slightly higher price.

During the trading session, buyers in Sindh and Punjab stations bought all grades on cautious note as grade issue. Traders offered all grades of lint on bargaining rates at around Rs 4,975 per maund to Rs 5,975 per maund in order to capitalise maximum returns on their proceeds, floor brokers said.

KCA kept the spot rate at Rs 6,600 per maund in order to provide support to weak stakeholders of raw grade to ward off minimal price level, said floor brokers.

Spinners in Sindh and Punjab stations made deals for fine grades on competitive price at around Rs 6,450 per maund to Rs 6,525 per maund while general buyers made deals for all grades in Punjab and Sindh stations at around Rs 4,975 per maund to Rs 5,225 per maund, traders said.

Due to grade issue in parts of Sindh and Punjab stations buyers made forward deals for all grades of lint at around Rs 4,975 per maund to Rs 5,350 per maund.

While, leading buyer stayed cautious and only made deals to meet their immediate need of lint on back of grade issue and in anticipation of decline in spot rate.

Shakeel Ahmad a fibre analyst said that the textile sector is facing dearth of fine grades, that would put positive impact on prices besides its market valuation.

The recent weather in cotton growing belt in Punjab remained suitable for standing crop. The shortage of energy to textile sector was still endangering cotton growers’ selling volumes.

More than 200 bales changed hands with more than 65 percent of Punjab’s share in trading.