Cotton price continues to fall KARACHI: Cotton prices continued to fall for the third straight session on Wednesday as buyers generally remained reluctant to enter into long position at this juncture.
Besides short supply and persistent downtrend in world cotton markets, spinners are now worried about the quality of cotton because of high moisture content in phutti (seed cotton) owing to recent rains, brokers said.
The leading world cotton markets also remained under pressure and registered fresh losses on reports that sudden climate change in India and the United States has brighten the prospects of higher cotton production in both the countries.
Recent rains have mostly affected cotton crop in Sindh where the crop was presently on flowering stage whereas in Punjab the crop was still in growing age and rains were expected to be beneficial, brokers said.
Cotton prices on the open market were down Rs400 per maund (around 37 kilograms). The Karachi Cotton Association cut its spot rates by Rs100 to Rs6,600 per maund.
Major deals on the ready counter were: 1,000 bales from Shahdadpur (Rs6,500 to Rs6,800), 1,000 bales Sanghar (Rs6,550 to Rs6,700), 200 bales Hyderabad (Rs6,600), 400 bales Khipro (Rs6,600 to Rs6,700), 200 bales Tando Adam (Rs6,800) and 200 bales Vehari (Rs6,900).