Cotton trading remained moderate and buyers made deals on slightly higher price amid firm physical prices.
Forward deals for a month period also changed hands that pushed physical prices in green zone. The Karachi Cotton Association (KCA)’s spot rate stood at Rs 7,500 per maund. Buyers made deals for all grades besides deals for better and second grade of lint for blending purpose remained firm and deals changed hands at around Rs 6,975 per maund to Rs 7,675 per maund during the trading session. Mills consolidated their long positions and made deals for second grade on paying premium price for it.
The shrinking fine lint put general price in firm zone and buyers also made forward deals on slightly higher price at around Rs 7,750 per maund in Sindh and Punjab stations. The private exporters consolidated their long positions through buying from old stocks while market remained in steady tones. The buyers remained selective on grade and consolidated their future positions with fresh fine lots, he added.
According to KCA, 200 bales of Multan changed hands at Rs 7,150 per maund, 200 bales of Sanghar at Rs 7,450 per maund, 200 bales of upper Sindh at Rs 6,925 per maund and 200 bales of southern Punjab at Rs 7,200 per maund. In domestic market buyers remained eager for quality lint on the back of growing demand of end products. The ginners of Punjab offered cotton of all grades to the buyers around Rs 5,975 per maund to Rs 7,775 per maund while ginners of Sindh offered low-grade of lint to the buyers around Rs 5,975 per maund.
New York Cotton May Futures 2018 contract closed at 84.18 cents per pound, July Futures 2018 contract at 84.36 cents per pound and Cotlook A Index was hovering at 90 cents per pound. The US currency edged higher in value versus rupee in interbank and open market, treasurers said. The greenback remained firm at Rs 115.40 for buying and closed at Rs 115.60 for selling in interbank. It gained 20 paisas. It was traded at a day high of Rs 115.41 and a low of Rs 115.59. A treasurer at a local bank said the oil payments remained the major factor for rupee’s dull trend. The euro remained firm to close at Rs 142.66 for buying and Rs 142.86 for selling with a gain of 80 paisas. The pound sterling stood firm to close at Rs 163.62 and Rs 163.82 for buying and selling respectively. It gained 84 paisas.
Kerb Market: The dollar remained firm in value owing to improved demand by umrah going pilgrims. The dollar closed at Rs 116.60 for buying and Rs 116.80 for selling. It gained 15 paisas. It was trading a day low at 116.59 in the open market. The demand of dollar in the open currency market from the corporate and private sector buyers has now become firm, thus putting some pressure on rupee.
The pound sterling closed at Rs 164 for buying and Rs 164.20 for selling, it gained 50 paisas versus rupee. The euro closed at Rs 142.25 for buying and Rs 142.45 for selling. It gained 50 paisas in the open market. The gold price in global and domestic market withered any possible descending phase on improved Gold Future speculations on general prices however less volume were traded. Meanwhile business activity remained Gold Future speculative on basis of gold manipulation by leading traders and output outlook during the trading session.
The gold price would be remained under leading hands in half of 2018. Gold closed at $1,350 an ounce with $12 upward variation in value as compared to previous trading session and domestic bullion price witnessed same trend. Gold in tola term up by Rs 520 a tola to close at Rs 58,483 per tola while in grammage value, gold remained firm by Rs 446 per ten grams to Rs 50,193 per ten grams. The manipulators in India, Pakistan and other major gold buying countries remained in driving seat for controlling Gold Futures. They remained busy influencing current prices and Futures on speculations. The potential buyers in India and Pakistan remained busy in hedging. The gold hedgers made some cautious deals. The general buyers remained on sidelines anticipating easing in price in coming days on dollar-rupee parity. Buyers made deals according to their immediate needs. Local trading in gold remained dull on back of insignificant buying and less liquidity in the market.