KARACHI, June 8: Cotton prices on Thursday rose further as spinners tried to grab the floating stock on lint at the current levels but ginners were not in an obliging mood.

As a result, some of the deals for fine lots were finalised at the seasonal highs of Rs2,650, but some brokers said ginners were now eyeing rates beyond Rs2,700.

Both the postponement of TCP auction for 30,000 bales to next Monday and late sowing of crop owing to shortage of irrigation water fuelled the current price flare-up, brokers said.

But some others said falling unsold stock of lint with the ginners was one of the chief reasons behind the price run-up despite the fact that spinners and mills were extending guarded support to contain prices within their export parity levels.

According to market sources, while most of the ginners have sold their stocks including odd lots, some big ones are still holding on to their stocks as they have the holding capacity.

Meanwhile, spinners are awaiting the announcement of textile package aims at boosting exports to $14bn, which the official say will be out during the next couple of days.

The general perception is that the future market trend will be set by the textile package as it would be beneficial for both the ginner and the spinner, brokers said.

Official spot rates were revised upward by Rs25 to Rs2,525 for averaged quality but in the ready section some of the deals were done above them.

New York cotton futures showed modest rise of 0.24 and 0.25 cents per lb at 52.12 and 55.65 cents for both the ruling July and the forward October settlements.

Ready off-take was active, totalling about 6,000 bales including a big-lot of 4,000 bales, from Samandri at Rs2,650, 1,000 bales, Rahimyar Khan at Rs2,600, 346 bales, Shahdadpur at Rs2,600 and 300 bales, Nayaabad at Rs2,525.