KARACHI, Oct 16: Cotton prices rose on Tuesday as growers curtailed phutti supply which brokers said was part of their strategy to push up prices further higher.

The Karachi Cotton Association revised up its official spot rate by Rs50 to Rs5,550 per maund but rates in the ready market were slightly lower in Punjab.

Around 5,000 bales were exchanged in Sindh at Rs5,550 to Rs5,800 and 8,600 bales at Rs5,400 to Rs5,700 in Punjab.

Brokers said ginners were reluctant to sell at the prevailing rates and on the other hand millers were hesitant to buy at higher levels.

There is also concern for a drop in exports following an expected slow down in the global economy.

However, cotton futures in New York rose as speculative buying helped the market rebound from a loss last week that was triggered by the bleakest U.S. government crop report on cotton in decades.

The price rebound aside, few traders were willing to revise their pessimistic outlook for cotton, saying the market had been buoyed since Friday by speculators and nothing had fundamentally changed.

SINDH TYPE: 1,600 bales, Shahdadpur at Rs5,550 to Rs5,600, 400 bales, Tandoadam at Rs5,600, 600 bales, Sanghar at Rs5,500, 800 bales, Mirpurkhas at Rs5,500, 600 bales, Khairpur at Rs5,750 and 1,000 bales, Uppersindh at Rs5,750 to Rs5,800.

PUNJAB VARIETY: 400 bales, Chichawatni at Rs5,400 to Rs5,450, 600 bales, Khanewal at Rs5,400 to Rs5,600, 400 bales, Multan at Rs5,400, 200 bales, Mianchano at Rs5,400, 400 bales, Hasilpur at Rs5,400 to Rs5,450, 1,000 bales, Bahawalpur at Rs5,400 to rs5,500, 1,000 bales, Vehari at Rs5,450 to Rs5,500, 200 bales, Kachakho at Rs5,500, 200 bales, Deraghazikhan at Rs5,500, 200 bales, Bastimalook at Rs5,500, 400 bales, Burewala at Rs5,550 to Rs5,600, 400 bales, Maroot at Rs5,600, 1,400 bales, Rajanpur at Rs5,650 to Rs5,700, 800 bales, Mianwali at Rs5,650 to Rs5,700, 200 bales, Haroonabad at Rs5,650 to Rs5,700, 200 bales, Haroonanbad at Rs5,650 and 800 bales, Fazilpur at Rs5,700.