KARACHI, June 24: In the absence of buying interest, easy conditions prevailed on cotton market on Monday.
The spinners and exporters were conspicuous by their absence.
Floor brokers said that tight liquidity position faced by trade and industry ahead of fiscal close on June 30 is keeping trade activity extremely slow and restricted.
Though there is higher arrival of phutti (seed cotton) in Sindh, slow off-take of cotton by spinners and exporters depressed prices.
Consequently, the Karachi Cotton Association (KCA) spot rates were also slashed by Rs107 per 40kg.
As arrival of new crop phutti is gaining momentum, more ginning units have come into operation in Sindh and the Punjab.
The phutti prices also recovered part of their recent fall and are now being quoted between Rs2,850 and Rs2950 per 40 kgs, brokers said.
Brokers said that the current slow down in trading activity would continue still the start of new fiscal year 2014 when fresh loans and refunds are received by trade and industry from exporters.
The following deals transpired on ready counter on Monday: 200 bales from station Shahdadpur done at Rs6,600, 200 bales from Sanghar done at Rs6,650, 1200 bales from Arifwala done at Rs6,100.
