KARACHI, Jan 28: Cotton prices on Friday remained stable around the previous levels as ginners sold only those lots, which were in line with their parity levels and held on fine lot amid predictions of pressure on supplies.

Some analysts, however, predicted that the local prices could be influenced bearishly in the coming weeks in response of limit-fall in New York cotton futures on heavy speculative selling followed by reports of higher crop estimates by the major producers.

New York cotton futures late on Thursday evening finished with limit-loss of 2.92 and 2.86 cents at 43.86 and 45.07 cents per lb for both the ruling March and the distant May settlements, which brokers say could work against the local market in due course.

But some others said the local market is essentially guided by supply and demand factors and there is a little possibility of external factors influencing its future price outlook.

However, falling mill demand reflects that both the ginners and spinners are trying to outwit each other on the price front. While the former is holding on to his unsold positions and are least worried over his inventory, the latter has drastically cut his daily intake to induce selling from them.

The stalemate on the ready front continues as spinners are not inclined to push prices further higher and lift only those lots, which fall within their export parity levels, they said.

TCP has also stopped fresh buying and is apparently engaged in operations to transport already purchased lots into its godowns but the market ruled steady despite its conspicuous absence, dealers said. But on the other hand private sector exporters appear to be active as leading among them have made forward deals for 0.573m bales, including 54,535 bales of the old crop and 0.519m bales of the current crop.

The physical shipments made against the total foreign sales were, however, modest around 0.133m bales including 67,564 bales of the old crop. Official spot rates remained basically unchanged from the previous levels as some of the deals for average quality were done in line with them.

Ready off-take was light owing to a short Friday session and as a result, about 2,000 bales changed hands as under: 200 bales, Sanghar at Rs.2,025, 400 bales, Khairpur at 2,075 and 400 bales, Sadiqabad at 2,115.00.