KARACHI, Jan 14: The post-Eid session on the cotton market on Saturday remained insipid as spinners and mills kept to the sidelines apparently awaiting the return of normalcy to the transport sector.

Both ginners and brokers remained busy in exchanging Eid greetings when the trading was resumed after three days’ closure rather than indulging in fresh business.

Floor brokers said that the normal activity was expected to be resumed by Monday next as spinners would try to cover the backlog of stocks caused by the Eid holidays and higher freight rates being demanded by the cargo haulers.

Some others said that the pent-up mill demand would be there but spinners were expected to play safe in an apparent effort to keep prices within current levels, they added.

However, foreign reports about the global production and consumptions indicate that the market is expected to heat up in the coming months irrespective of the supply and demand factors, some others said.

“No one could dispute the fact that the crop is estimated well below the target of 15m bales around 12m bales plus and that factor could lead to higher prices after the final crop figure is announced”, they added.

Already, New York cotton futures are settled well above the benchmark prices of 50-cents plus and there is every reason to believe that lower crop may keep prices bullish.

New York cotton futures maintained their upward drive and were quoted higher by 0.49 cents for both the ruling March and the forward May at 55.93 and 57.07 cents per lb.

Official spot rates on the other hand remained pegged at the pre-Eid holiday level of Rs2,375 in the absence of any feedback from the ready section.

Local cotton brokers said ready business remained at a low ebb but reports from the southern Punjab cotton belt said about 2,000 bales of fine types changed hands around Rs2,400 per maund for next week delivery.

COTTONSEED: Prices of cottonseed rose from the previous level partly on active crushers’ demand and partly to pressure on supplies. While Sindh type was quoted around Rs380 per 40 kg, Punjab variety was traded higher by Rs30 at Rs410.