Both political and economic uncertainties forced the cotton traders and industry to minimise their normal activities. Cotton analyst, Naseem Usman said that the ginners are facing difficulty in disposing of their limited stock of unsold as spinners are not interested in purchasing of cotton even at reasonable rates. Report showing that the weekly export sales data from the US Department of Agriculture (USDA) showed net upland sales totalled 152,400 running bales for the previous week, up 32 percent from the week before.
Adds Reuters: ICE cotton futures edged higher on Thursday in thin volume trading on a better-than-expected US export sales report amid a weaker dollar. The May contract expires on Monday and will probably go above 80 cents, so the July contract could run up there as well, according to Keith Brown, principal at cotton broker Keith Brown and Co in Moultrie, Georgia. The May cotton contract on ICE Futures US settled up 0.17 percent at 80.83 cents per lb. The July cotton contract on ICE Futures US settled up 0.14 cent, or 0.18 percent, at 78.91 cents per lb. It traded within a range of 78.68 and 79.33 cents a lb. A deal of 1200 bales of cotton from Sanghar was reported at Rs 5950, they said.
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The KCA Official Spot Rate for Local Dealings in Pakistan Rupees
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FOR BASE GRADE 3 STAPLE LENGTH 1-1/16"
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MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
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Rate Ex-Gin Upcountry Spot Rate Spot Rate Difference
For Price Ex-Karachi Ex. KHI. As Ex-Karachi
on 04.05.2017
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37.324 kg 6,700 135 6,835 6,835 Nil
Equivalent
40 kgs 7,180 145 7,325 7,325 Nil
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Copyright Business Recorder, 2017