02 November 2004	Tuesday	18 Ramazan 1425

KARACHI, Nov 1: Cotton market on Monday remained unsettled as ginners could not precisely decide whether or not to hold to their positions or selling at the lower prices offered by spinners.

Trading activity, therefore, remained a bit slow as price ideas of both the buyers and the sellers were said to be poles apart, dealers said.

Most of the deals in Sindh variety were finalized at Rs1,875-1,975 and that of in the Punjab type at Rs2,000-2,025 depending on the quality of lint in trade, they said.

Phutti prices, which had risen slightly above the official support price of Rs925 per 40 kg to Rs940 last week, also eased below Rs900.

Leading floor brokers predicted some more softening in the local prices in line with the New York cotton futures, which are expected to remain unsettled until the results of the US presidential elections are announced.

"The world buyers of lint cotton will also stay on the sidelines as any upset in the US elections could have negative bearing on prices though temporarily", they said.

As a result, physical trading during the next couple of sessions will remain volatile, although spinners may not like to stay away and will lift those lots, which fall in line with their parity levels.

Meanwhile, the TCP continue to lift all the lots offered by the ginners at the official price of Rs2,159 per 40 kg, providing second selling outlet to the ginners.

Some of the ginners who are quality-conscious and producing lint according to international standards are selling their stocks to the TCP and getting a fair price well above the ruling rates, dealers said.

They said exporters are not that aggressive buyers as the TCP or spinners but are very much in the market and lifting bulk of the inferior types, notably from the Sindh cotton belt.

Official spot rates were lowered by Rs15 at Rs2,000 in line with the deals being transacted in the ready section.

Ready off-take was active totalling about 25,000 bales, the following being some of the notable deals.

SINDH TYPE: 600 bales, Nawabshah at Rs1,975, 400 bales, Tando Adam at Rs1,900, and 1,000 bales, Mirpur Khas at Rs1,875-1,900.

PUNJAB VARIETY: 1,000 bales, each Gojra and Rajanpur at Rs2,025, 600 bales, Bahawalnagar and 800 bales, Bahawalpur also at Rs2,025.