KARACHI: Steady conditions prevailed on the cotton market on Tuesday where buyers indulged in short covering. Earlier in the day, prices tended to move higher on short supply of phutti (seed cotton).

Floor brokers said that due to non-availability of transport which is currently engaged in carrying sacrificial animals, the phutti movement from cotton fields into the ginners has slowed down considerably.

Consequently, there was shortage of lint in the market which pushed prices slightly higher on strong demand from spinners and some exporters.

Nevertheless, towards closing stages market came under pressure in sympathy with world markets trend as New York, India and even China closed easy on sluggish demand.

Crop in Sindh and Punjab is in good health and no pest attack has been witnessed as it was feared soon after recent heavy rains and floods, particularly in Punjab, brokers said.

The Karachi Cotton Association (KCA) raised its spot rates for second consecutive day by Rs50 to Rs5,150 per maund. The following major deals were reported to have changed hands on ready counter: 400 bales Shahdadpur at Rs5,100, 400 bales Tando Adam at Rs5,100 to Rs5,150, 800 bales upper Sindh at Rs5,300, 400 bales Vehari at Rs5,300 to Rs5,325, 400 bales Kasowal at Rs5,300 to Rs5,350, 400 bales Chichawatni at Rs5,350 to Rs5,375, 1,600 bales Khanewal at Rs5,400 and 200 bales Chistian at Rs5,400.

The following are Tuesday’s new crop Karachi Cotton Association (KCA) official spot rates for local dealings in Pak rupees for base grade 3 staple length 1-1/16” micronair value between 3.8 to 4.9 NCL.

Published in Dawn, October 1st, 2014