KARACHI, Dec 11: Cotton prices ended flat on Tuesday but in brisk activity as millers actively accumulated stocks on current prices but brokers said prices could rise in the coming days.

The Karachi Cotton Association kept its official spot price unchanged at Rs5,850 per maund. In Sindh, 2,000 bales of cotton were exchanged at Rs5,300 to Rs5,950 and in Punjab, 11,400 bales of cotton were exchanged at Rs5,850 to Rs6,050.

However, there is a slight possibility that prices may rise as the US government cut its 2012-13 forecast for global cotton inventory as a technical adjustment in Turkey’s data offset an increase in output.

The US Department of Agriculture lowered its ending stock estimate to 79.64 million 480-pound bales from 80.27 million in November. The new forecast is still the highest since USDA records began in 1966.Before the report was released, US cotton futures settled lower as late producer and technical selling hobbled an earlier rally to fresh three-week highs, with nervous investors sitting on the sidelines ahead of the US government's monthly crop report.

Prices had rallied to fresh three-week highs, extending the previous three sessions of gains, driven by a rise in the euro.

The following transactions were reported on the ready counter on Tuesday:

SINDH TYPE: 400 bales, Shahdadpur at Rs5,300, 1,000 bales, Daur at Rs5,700, 600 bales, Upper Sindh at Rs5,950.

PUNJAB VAREITY: 1,000 bales, Bahawalpur at Rs5,850, 600 bales, Khanewal at Rs5,850, 800 bales, Burewala at Rs5,850, 200 bales, Chichawatni at Rs5,850, 200 bales, Faqirwali at Rs5,850, 200 bales, Hasilpur at Rs5,850, 400 bales, Chistian at Rs5,850, 2,000 bales, Haroonabad at Rs5,850 to Rs5,900, 200 bales, Shujjabad at Rs5,865, 200 bales, Alipur at Rs5,875, 400 bales, Jalalpur at Rs5,900, 200 bales, Liaquatpur at Rs5,900, 1,000 bales, Deraghazi Khan at Rs5,900 to Rs5,950, 1,200 bales, Rahimyarkhan at Rs5,925 to Rs5,950, 1,000 bales, Sadiaqabad at Rs5,950 to Rs5,975, 1,200 bales, Layyah at Rs5,950, 1,000 bales, Shadanlund at Rs5,950, 800 bales, Tonsa Sharif at Rs5,950, 600 bales, Mohammadpur at Rs5,950 to Rs6,000, 2,600 bales, Rajanpur at Rs5,975 to Rs6,000, 600 bales, Fazilpur at Rs6,000 and 1,800 bales, Mianwali at Rs6,000 to Rs6,050.