KARACHI, Sept 17: Cotton prices ended flat at Rs5,600 per maund on Monday after falling by Rs50 in the previous session.

Activity however picked up as deals for 6,600 bales were finalised today compared with 4,000 bales on Saturday. Millers were still cautious as rains had intensified in Punjab which could damage cotton crop and disrupt supply, brokers said.

According to initial estimates released last week, floods swept across 300,000 acres in DG Khan, Rajanpur and Rojhan areas, which could bring Punjab’s production down by 450,000 bales.Cotton futures in New York closed up for a second straight day, staging their best rally in three weeks, as the Federal Reserve's third stimulus action for the US economy boosted it and a number of other commodity markets.

The following transactions were reported on the ready market on Monday: 800 bales, Shahdadpur at Rs5,600, 1,000 bales, Sanghar at Rs5,600, 1,000 bales Tando Adam at Rs5,600, 600 bales, Hyderabad at Rs5,600, 200 bales, Vehari at Rs5,600, 200 bales, Sillanwali at Rs5,600, 1,000 bales, Burewala at Rs5,550 to Rs5,675, 200 bales, Pakpattan at Rs5,550, 200 bales, Chichawatni at Rs5,675 and 200 bales, Gojra at Rs5,700.