November 16, 2007	Friday	Ziqa’ad 05, 1428

KARACHI, Nov 15: Cotton market on Thursday maintained a firm outlook as prices remained stable around the previous levels amid an actively traded session.

For the fourth session in a row, bulk of the business is being transacted around Rs3250 per maund for the fine lots, while short staple lots from the central Sindh ginneries were available at Rs3,175.

Floor brokers said the average rate of Rs3,225 seems to be in line with parity levels of both the buyers and the sellers and “ it is a positive development, which is keeping speculative forces on the sidelines at least for the near-term.”

Spinners and mills may not be happy as the current rates are bit higher as compared to ruling international prices but they are in the market to protect their export markets and honour foreign commitments, they said.

However, spinners seem to be well aware about the developing situation on the supply front as was reflected by well above their average daily intake, although it appears to be a temporary lull, market sources said.

But those, who had build up long positions a couple of weeks earlier having a fair idea of the crop shortage, may be in a bit comfortable position but those, who awaited fall in prices, are now at the receiving end, they added.

The mill buying flurry at the current rates, notably by leading among the spinners and mills having enormous funds at their disposal, reflects that the price outlook could change any time based on supply figures.

The arrival figure of phutti into the ginneries for the fortnight ended Nov 15, are due by the end of the current week and they will give a fair idea of size of the crop and future price outlook, they said.

Official spot rates were, therefore, again firmly held at the last levels amid active trading.

New York cotton futures on the other hand again showed fractional either-way changes. While the ruling December was quoted fractionally higher by 0.01 cent at 63.15, the distant March fell by 0.10 cent at 67.76, respectively.

The following are details of some notable deals, which gone through in the ready section.

SINDH TYPE: 1,000 bales, each Shahdadpur and Nawabshah at Rs3,150, 400 bales, Sanghar at 3,125.00, 600 bales, Dadu at 3,200.

PUNJAB VARIETY: 1,000 bales each Sahiwal, D.G.Khan, Muhammad Pur Dewan, Bahawalpur, 400 each Shujabad, Rajanpur, Liaquatpur, Yazman, Khanewal 700 bales, Gojra, at Rs3,250, 400 bales, Shehar Sultan at 3,240 and 200 bales, Ghazi Ghat at 3,275.