Cotton buying high

Karachi
Trade turnover of cotton surged by 24 percent to 19,700 bales (of 155 kilogram), as many big textile mill owners made fresh buying on assumption that the price of the commodity may increase in line with the world trend, said a dealer on Wednesday.
Naseem Usman, a broker at Karachi Cotton Exchange said surge in buying made the trade deals finish at four-month high price at New York cotton market.
The most active May futures contract rose 1.21 cents/pound to 64.53 cents/pound in New York, reported Karachi Cotton Association (KCA). The rise in the commodity price at the benchmark world market neutralised the likely impact of just released fortnightly cotton production report. “The buying would have been dull due to higher cotton production in the last two weeks than the market expectation,” he said. The association added that traders bought 19,700 bales at Rs4,500 to Rs5,200/maund as compared to 15,830 bales bought at Rs4,200 to Rs5,100/maund a day ago.