40,000 bales change hands on cotton market
KARACHI: The cotton market witness frenzied buying from textile industry on Tuesday, allowing trading volume to reach a historic high of 40,000 bales in a single day
Spinners booked quality, big lots in order to build up inventories while price line also remained firm on steady flow of buying orders.
Higher arrival of phutti (seed cotton) did not impact cotton prices which hovered around Rs100 to Rs150 above official rates.
According to market reports, quality issues continue to haunt spinners who feared that there could be sudden shortage of good cotton in the market. Buyers went for quality cotton which helped prices to stay stable.
Phutti prices remained steady in the range of Rs2,800-3,100 for Sindh quality and between Rs2,900-3,150 per 40kg for Punjab quality.
Though the flow of phutti has also touched its peak level but so far there is no official version on cotton quality.
The world leading cotton markets, however, closed easy under the lead of New York cotton due to lower US dollar rate against other currencies.
The Karachi Cotton Association (KCA) spot rates were firm at overnight level.