KARACHI, Jan 13: Trading on the cotton market on Tuesday resumed on a firm note as some of the leading spinners and mills indulged in big-lot business followed by reports of pressure on ready supplies.

An idea of strong mill buying may well be had from the fact that some of the lots from the southern Punjab ginneries were done as higher as Rs3,400 per maund but the average rate being Rs3,200.

But cotton analysts said the limit-fall in New York cotton future on Monday said local prices could ease in sympathy in the coming week though temporarily.

But the negative impact of the steep decline was not immediately visible on the local market and spillover, if any, will be felt during the next couple of sessions.

The New York cotton futures on Monday were quoted lower by 2.65 and 2.48 cents per lb for both the ruling March and the distant May contracts respectively, they said.

They predicted that the local prices will be guided by the supply and demand factors and if the crop is short, there could be further increase in prices irrespective of the fact that the New York cotton falls further in the coming week.

However, a big deal of 2,800 bales at Rs3,400 reflects that leading spinners having a fair idea of the crop are inclined to go any farther to ensure supplies against their forward deals with the foreign countries both for cotton yarn and textiles, they added.

There was no change in the local spot rates, which were again held unchanged at Rs3,200 per maund.

Mills ready off-take was on the higher side totaling about 20,000 bales, including some big lots.

The following are some of the deals reported in the ready section late on Tuesday evening.

SINDH TYPE: 1,400 bales, Rohri at Rs3,230 to Rs3,275, 1,000 bales, Salehpat at Rs3,240 to Rs3,275 and 400 bales, Mirpurkhas at Rs3,100.

PUNJAB VARIETY: 2,800 bales, Rahimyar Khan at Rs3,200 to 3,400, 1,500 bales, Ahmedpur East at Rs3,250 to 3,400, 1,000 bales, Mian Channu at Rs3,325,400 bales each Rajanpur and Fazilpur at Rs3,300, 600, 400 each Shadan Lund, Sadiqbad, Khanpur at Rs3,200 and 600 bales, Ghazi Ghat at Rs3,300.