Pakistan cotton market failed to pick up momentum

Pakistan cotton market failed to pick up any momentum as demand for cotton yarn remind slack. Spinners as well as exporters showed little buying interest, as they are reluctant to enter into any fresh deals.

Due to low demand from China who is largely depending on last year’s huge stocks of cotton and cotton yarn, spinners are presently faced with high inventory.

According to brokers, currently China is only importing higher count yarn from India to meet its international commitment in value-added textile goods. There is hardly any demand for lower counts where Pakistani spinners have an edge.

Activity on cotton market remained sluggish with only few small lot deals by some exporters. The following deals were reported to have changed hands on ready counter: 800 bales, Dharki, at Rs6,450; 400 bales, Maroot, at Rs6,400; and 400 bales, Sadiqabad, at Rs6,400.

The Karachi Cotton Association (KCA) spot rates were firm at previous level and trading on ready counter was extremely slow.

In global front, the world cotton markets saw a mixed trend where New York cotton gave contrary trend against its overnight performance.

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