950827

Prices ease on cotton market

RECORDER REPORT

KARACHI: Prices eased on cotton market on Sunday. By Rs 50 to 75 indicating effects of the strikes by the traders. Another factor that could have prompted revision was downword drift in phutti prices by over Rs 30. Restricted business manifested reluctance on the part of ginners harbouring the idea of keeping price high.

But for a few days in the last week, warld prices soared to reach over 85 cents, apparently influencing prices in Pakistan, as elsewhere. But as week-end approached, erosion started quoting October at 81.41 cents a pound, December at 76.65 cents a pound and March at 80.55 cents. May be, the international trend came into play in relation with local rates.

Readers may recall Saturday's report that cotton market opened higher but progressively conceded ground. It was expected it will keep a low profile on Sunday, and, as far as the morning sessions was concerned, they moved in the contemplated way. Sunday's session, opening at Rs 19.50, saw closing level at which cotton changed hands at Rs 2025. However, Niab, which had gained Rs 100/on Saturday, dropped Rs 75 on Sunday to be quoted at Rs 2025. The two current crops, staying firm for some/time, also lost some ground.

Thus,. K-68 was quoted Rs 50 down at Rs 1925 and MNH-93 at Rs 1940.

In ready, prices backed awaz by Rs 100 to 150, as compared to Saturday. The rates ruling on Sunday were Rs 1950 top 2025.

More erratic than cotton these days are the prices of phutti which was sold only hours back at Rs 850/975 but sold on Sunday at Rs 815/820.

Binola remained firm around Rs 240/245.

The Cotton Export Corporation (CEC) is getting ready to liquidate some 45,000 bales cotton at unspecified rates. Or, maybe, at the previous Rs 2115 per maund. Whether marketing of CIS cotton will have any impact on the quite uncertain local cotton will be watched keenly. Time appears to be appropriate - a few weeks before the sales of new upper Sindh and Punjab Cotton.

One hundred more bales of cotton were shipped on Saturday taking the exports total to 2,25,115 bales against the commitment of 2,92,571 bales.

Following deals were reported on Sunday: 100 bales of Jhol and Shahdadpur at Rs 1950, 300 bales of Tando Allahyar at Rs 1950, 100 bales of Tando Adam at Rs 2000, 100 bales of Tando Allahyar at Rs 2000 and 200 bales of Mirpurkhas at Rs 2025.

KCA SPORT RATES

Niab-78 (New) Rs 2025.00

K-68 (Current) Rs 1925.00

MNH-93 (Current) Rs 1940.00

Seed, cotton cakes

market closed

Trading in seed and grain markets, as well as cake futures market was suspended following the death of a member of business community.