KARACHI, Oct 8: Active trading was witnessed on the cotton market on Friday as spinners and mills continued to grab the floating stocks around the previous levels.

Bulk of the business was again finalized between Rs1,750 on the lower side and Rs1,925 per maund on the higher side depending on the quality of lint in trade, dealers said. Average rates for both the Sindh and the Punjab lint was quoted around Rs1,850 per maund. But there was no immediate negative fallout of limit-fall in the New York cotton futures for the ruling October contract, which plunged by 3.48 cents per lb at 46.87 on strong speculative selling triggered by reports of higher global cotton outlook, they said.

Some analysts, however, predict local prices could fall further from the current levels in response to world rates, which will make imports more competitive. One thing appears certain, the cotton trade is in a mess as no one associated with it could precisely know how to react to falling market and where the end will come, they said.

Spinners are making guarded purchases hoping further decline in prices early next month after the total crop figure will be available, while on the other hand grower, having a little holding capacity is out to sell at the prevailing rates despite the presence of the TCP on the market and its endeavour to ensure a competitive price for the grower.

Despite having a strong holding capacity, ginners are also not inclined to take risks at this stage and try to pass on the major portion of the financial risks to the spinners, brokers said.

Meanwhile, reports coming from the cotton belt indicate that the TCP remained active buyer at the official support price to bail out the grower and the ginner from the current impasse.

Official spot rates resisted fresh decline and were held unchanged but the Cotlook index fell modestly to 51.40 from the previous 54.05 cents per lb owing to weak New York cotton futures.

New York cotton futures late on Thursday evening were quoted around 46.87 and 47.37 per lb, off 3.48 and 1.10 cents per lb respectively for both the maturing October and the ruling December settlements. Ready offtake was active as till late in the evening about 20,000 bales changed hands. The following being some of the notable deals.

SINDH TYPE: 1,200 bales, Moro, 400 bales, Setharja, 200 bales, Daulatpur, 600 bales, Bhira City, at Rs1,900, 200 bales, Pithero at Rs1,750, 400 bales, Shahdadpur at Rs1,850, 600 bales, Kanderi at Rs1,850 to Rs1,900.00 and 500 bales, Kot Digi at Rs1,900.

PUNJAB VARIETY: 1,200 bales, each Haroonabad at Hasilpur at Rs1,850 to Rs1,925, 800 bales, Chishtian at Rs1,875 to Rs1,925, 200 bales, Kot Addu,400 bales, Rahim Yar Khan ,200 bales, DG Khan, 400 bales, Rajanpur 400 bales, Bahawalpur at Rs1,900.