March 15, 2007	Thursday	Safar 25, 1428

KARACHI, March 14: Cotton market on Wednesday maintained a steady trend as ginners were not inclined to lower their asking prices amid hopes that prices could rise higher from the current levels.

The perception that falling unsold stocks with the ginners could have a positive impact on the prevailing prices in the coming weeks based on supply and demand factors, floor brokers said.That is perhaps why no one among them even their weaker links are inclined to lower their asking prices at this stage as was reflected by falling mill ready offtake, they said.

Stray lots, however, changed hands around an average rate of Rs2,600, which apparently is in line with the export parity levels of spinners and mills, they added.

Although the new crop from the lower Sindh ginneries is still four months away, spinners are trying to keep their inventories in line with the future demand after importing foreign lint.

But the interesting feature was that despite talk of higher imports and forward deals to make up the local crop shortfall, prices of local lint were not influenced by reported larger imports from various sources.

Unconfirmed reports claim that some of the spinners and mills have also imported lint from India via Dubai, which is said to be a bit expensive as compared to overland route, market sources said.

It was perhaps in this background that the official spot rates were quoted unchanged at Rs2,550 per maund.

But on the other hand New York cotton futures fell by 1 and 0.75 cents per lb for both the ruling May and the distant July contracts at 53.56 and 54.45 cents per lb, respectively.

Ready offtake was active totaling 5,000 bales, the following being some of the notable deals; 1,200 bales, upper Sindh at Rs2,625, 1,500 bales, Multan at Rs2,525 to Rs2,615 and 1,000 bales, Bahawalpur at Rs2,600.