KARACHI: Cotton prices fell on Tuesday amid selective buying for quality lint. However, ginners were reluctant to dispose of their stocks.
The larger crop size is psychologically impacting trading as buyers have assumed a position of dictating their terms and prices.
The trading remained slow as spinners and exporters remained to the sidelines in the hope prices would move lower in the coming days.
Moreover, reports that a small quantity of Indian cotton has been imported through Wagha border also had its negative impact.
Meanwhile, dense fog continues to disturb phutti (seed cotton) movement in Punjab. Therefore, small lot trading on ready counter could not help to arrest falling lint prices, brokers said.
The world cotton markets came under correction after staying easy for two straight sessions.
The New York cotton recovered for all the future contracts.
The Karachi Cotton Association (KCA) cut its spot rates by Rs100, to Rs4,800 per maund.
The following deals were finalised on ready counter: 300 bales Hala at Rs4,250, 200 bales Rohri at Rs4,850, 800 bales Burewala at Rs4,550 to Rs4,650, 400 bales Chichawatni at Rs4,775, 600 bales Hasilpur at Rs4,800, 800 bales Haroonabad at Rs4,900, 200 bales Maroot at Rs4,925 and 1,200 bales Khanpur at Rs5,150.
Published in Dawn, January 7th, 2015