As stated by the dealers, speculative buying during the trading process, significantly hiked the cotton prices in the market. Official spot price of the commodity at the Karachi Cotton Association (KCA) increased by Rs 100 to touch Rs 8,300 mark, the dealers said. Around 26,000 cotton bales were traded between Rs 8,300 to Rs 8,700 per bale.
The dealers also stated that, the prices of seed cotton in Punjab and Sindh too registered a rise of Rs 50-100 and reached between Rs 3,800 to Rs 4,000. As revealed by the experts, this bullish trend is mainly influenced by scarce supply of the commodity, and upward trend in the New York market.
According to them, the major players are once again betting in the US cotton market, and it seems as if the domestic market too is following the same path in empathy. Meanwhile, some of the experts even opined that, the speculators were trying to rule the commodity prices and to push it to higher levels to make profits. Also, as the ginners who expected the commodity prices to rise in near future, were not prepared to force the buyers to buy more cotton, which too hiked the commodity prices.
Fibre2fashion News Desk-India
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