KARACHI, Oct 2: After Tuesday’s technical breather, spinners were back on the market and resumed their covering purchases both in Sindh and Punjab varieties at highly erratic rates.
“I don’t call it the beginning of the pre-election moping operations, although some of the leading spinners and mills are thinking in terms of supply and demand in the sessions preceding Oct 10”, says a leading broker adding “picking operations of phutti will certainly be affected prior to the deadline”.
Larger ready business indicates that ginners are also not inclined to hold long positions owing to post-election fears and try to sell ready stocks after the growers fix phutti prices.
The notable feature was that there was difference of Rs125 per maund between the selling prices as some of the deals were done as higher as Rs2,025 and some at the day’s lowest rate of Rs1,900 per maund depending on the quality of lint in trade.
The disturbing feature was that medium staple variety from the Punjab ginneries was again sold at a discount because of quality factors as compared to its Sindh counterpart, which was again sold at a competitive rate.
An idea of quality of lint from some of the model ginning areas including Rahimyar Khan may well be had from the fact that a maiden deal of the new crop was finalized at Rs1,965 per maund.
Floor brokers said leading spinners and mills are inclined to have a bigger stake in the Sindh type because of quality factors, while they are not inclined to bid at the same price for the Punjab variety.
A wide difference in the micronaire of the two is said to be the chief price determining factor, although both are below the average normal standard needed by the spinners, market sources said.
Official spot rates were further lowered by Rs10 but in physical trading the gap was wide depending on quality.
Ready offtake was active as till late in the evening about 6,000 bales changed hands. The following being some of the notable deals:
SINDH VARIETY: 800 bales, Mirpurkhas at Rs1,900, 200 bales, at Rs1,915, 400 bales, Sakrand at Rs2,025, 400 bales, Tando Adam at Rs1,925, 400 bales, at Rs1,950, 400 bales, Shahdadpur at Rs2,000, 200 bales, Nawabshah at Rs2,025, 200 bales, Moro at Rs2,025, 200 bales, at Rs2,000, 200 bales, Sanghar at Rs1,970 and 200 bales, at Rs1,975.
PUNJAB TYPE: 200 bales, D.G.Khan at Rs1,950, 800 bales, Mian Channu at Rs1,975, 200 bales, Rahimyar Khan at Rs1,965 and 200 bales, Hasilpur at Rs1,950.