KARACHI, Jan 31: Cotton prices on Monday eased from the recent all-time highs as spinners were not inclined to go beyond their export parity levels and curtailed their daily intake.

“It appears to be a tactical spinner move to check fresh rise in prices, which hit the high mark of Rs12,000 per maund last week and average selling price being around Rs11,500,” analysts said.

However the sharp fall in mill daily intake worried some of the ginners who lowered their asking prices, they added.

Unlike the weekend session when most of the deals were finalised around Rs11,500 per maund, the cotton trading on Monday witnessed stray lots changing hands between Rs10,500 and Rs11,000 per maund but mills and spinners remained a low-key buyers amid hopes that some other ginners may also lower their asking prices.

However, the general market view about the future price outlook is that it would by dominated by the supply and demand factor supported partly by the speculative rise or fall in the global markets, notably New York cotton futures.

But in any case it will remain a difficult year on the export front owing to higher local lint prices and other input costs, they said.

While most of the deals in physical trading were quality–based, the official spot rates were firmly held at the last level of Rs10,800 per maund.

The following are some of deals reported by the Karachi Brokers Forum to the Karachi Cotton Association (KCA) on Monday:

SINDH TYPE: 200 bales, Tando Adam at Rs10,400.

PUNJAB VARIETY: 1,000 bales, Sadiqabad, 400 bales each Shah Jamal and Noorpur, 200 bales each Fazilpur, Ksaowal and Yazman at Rs11,000, 200 bales, Chichawatni, 400 bales, Bahawalpur, at Rs10,500.