KARACHI: Cotton prices edged up on Monday, after the heads of US and China agreed to defer the tariff increase for a period of three months on the sidelines of G-20 meeting in Argentina.

As a result, the New York cotton surged by 2.5 cents per lb.The Indian cotton prices soared between Rs500-2,000 per candy (356kg) while the Chinese cotton also firmed up.

The local market was no exception as cotton prices also started to recovery amid improved trading volume. The general lethargy in the market vanished a strading picked up pace. However, phutti (seed-cotton) prices remained firm for all the varieties, including Sindh, Punjab and Balochistan.

Trading on ready counter witnessed rise in cotton prices as many deals were finalised above the weekend prices amid higher trading volumes, brokers said.

The Karachi Cotton Association spot rates also remained steady at last level of Rs8,700 per maund.

The following deals were reported to have changed hands on ready counter: 600 bales from Nawabshah were done at Rs8,400; 1,800 bales, Rohri, at Rs8,650 to Rs8,700; 400 bales, Dherki, at Rs9,000; 600 bales, Ghotki, at Rs8,700 to Rs9,000; 2,000 bales, Saleh Pat, at Rs8,600 to Rs8,700; 2,600 bales, Khairpur Mirs, at Rs8,450 to Rs8,650l; 1,600 bales, Sadiqabad, at Rs9,000; 400 bales, Darah Wala, at Rs8,300 and 1,000 bales from Bahawalnagar were done at Rs8,300.

Published in Dawn, December 4th, 2018