Price remain under stress condition due to selective buying in lint market

During the trading session in lint market, prices remained under stress condition due to selective buying. However, buyers in Sindh and Punjab stations bought all grades on cautious note as grade issue was continued. Traders offered all grades of lint on bargaining rates at around Rs 4,975 per maund to Rs 5,375 per maund in order to capitalize maximum returns on their proceeds, floor brokers said.

While, traders at the Karachi Cotton Association (KCA) said that grade-conscious buyers made deals on slightly higher price on Thursday.

KCA kept the spot rate at Rs 5,550 per maund in order to provide support to weak stakeholders of raw grade to ward off minimal price level, said floor brokers.

Leading buyer remained cautious and only made deals according to their immediate need of lint on back of grade issue and in anticipation of decline in spot rate.

Mills in Sindh and Punjab stations made deals for fine grades on competitive price at around Rs 5,550 per maund to Rs 5,600 per maund while general buyers made deals for all grades in Punjab and Sindh stations at around Rs 4,975 per maund to Rs 5,050 per maund, traders said.

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

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 5,275 per maund.

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.

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