KARACHI: Buying interest picked up in the cotton market on Tuesday as many spinners took advantage of lower prices and replenished their stocks.
The sudden optimism witnessed in most of the world leading markets following reports that US-China trade talks were moving in right direction induced sentiment, brokers said.
However, shortage of quality cotton kept trading restricted. Brokers said local cotton issue was not only related to short crop but also quality of lint affected by climate change.
There were reports that many leading spinners have already booked substantial quantity of cotton for imports and yet they are active in local market because shipments would take longer time to arrive.
On global front, New York cotton surged up on reports of positive development on US-China trade talks. However, Indian and Chinese markets were mixed.
The Karachi Cotton Association (KCA) spot rate was firm at overnight level at Rs9,000 per maund.
The following deals were reported to have changed hands on ready counter: 9,000 bales, station Saleh Pat, at Rs8,650-8,725; 1,400 bales, Khairpur, at Rs8,320-8,500; 2,000 bales, Rahim Yar Khan, at Rs9,100-9,200; 2,000 bales, Chishtian, at Rs8,350-8,600, 1,200 bales, Yazman Mandi, at Rs8,400-8,600; 1,000 bales, Bahawalnagar, at Rs8,600; 200 bales, Daharki, at Rs9,150-9,200; and 200 bales, Ghotki, at Rs9,200.
Published in Dawn, November 27th, 2019