Trading activity improves as spinners make fresh deals on lower rates

As spinners made some fresh deals on lower prices, trading activity on the cotton market on Tuesday saw some improvement, dealers said. In the ready business, as a result of slight improvement in the daily intake, over 3000 bales of cotton changed hands between Rs 4700 and Rs 5400.

The official spot rate remained unchanged at Rs 5,200. While, in Sindh, seed cotton prices were at Rs 2000-2200, and in Punjab prices at Rs 2500 and Rs 2900.

Needy spinners came back to finalize deals due to lower rates. Rise in the cotton futures could be another factor behind the increase in fresh buying by mills and spinners, according to the market sources.

Reports of delay in early sowing of cotton in Punjab owing to recent rains was causing a worry for spinners but depressed world market and domestic issues continued to bog down the spinning industry.

According to dealers following deals were seen finalized: 400 bales of cotton from Mirpur Mathelo sold at Rs 5300, same number from Khanpur Mehar at the same price, 600 bales from Layyah at Rs 4750, 400 bales from Burewala at Rs 5350, 1000 bales from Rahim Yar Khan at Rs 5400, 400 bales from Faqirwali at Rs 5400 and 200 bales from Fort Abbas at Rs 5200.

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