Cotton prices stay steady
KARACHI: Short covering by spinners generated some activity on the cotton market on Thursday, although prices remained steady like elsewhere in the world.
Brokers said the market is expected to stay sluggish in coming days as most spinners are waiting for the new crop.
There are some quality issues, although around 250,000 bales are still held by ginners, they added.
Ginners believe a delay in the arrival of the next crop and shortage of cotton can lead to higher price in days ahead.
Leading world cotton markets, including New York, closed firm. There was no development that could change the current course of trading.
Meanwhile, the Karachi Cotton Association (KCA) has warned the government against imposing any tax on the import of cotton, saying it will disturb the existing free trade regime in the cotton economy.