Cotton futures slip marginally to Rs 17,800 per bale in afternoon tradePage Visited: 9
In the futures market, cotton for October delivery touched an intraday high of Rs 17,860 and an intraday low of Rs 17,610 per bale on the MCX.
Cotton futures fell marginally 0.22 percent to Rs 17,800 per bale on September 14 as participants increased their short positions as seen from open interest. Cotton futures on the Multi-Commodity Exchange (MCX) settled with a gain of over 1 percent on Friday on increased demand by millers.
Cotton prices have been under pressure on increasing tensions between the US and China, and weakness in crude prices triggered selling in natural fibre in the international market, which pressured cotton prices across the globe.
The Cotton Association of India has shown displeasure against the US State Department of Agriculture (USDA) projecting Indian cotton stock much higher than it exists.
The USDA projected Indian cotton stock at 19.2 million bales at July end compared to CAI estimation of 11.2 million bales.
In the futures market, cotton for October delivery touched an intraday high of Rs 17,860 and an intraday low of Rs 17,610 per bale on the MCX. So far in the current series, the commodity has touched a low of Rs 16,060 and a high of Rs 18,260.
Cotton futures for October delivery slipped Rs 40, or 0.22 percent, to Rs 17,800 per bale at 15:10 hours IST on a business turnover of 712 lots. The same for November contract rose Rs 50, or 0.28 percent to Rs 17,640 per bale with a business volume of 223 lots.
The value of October and November’s contracts traded so far is Rs 4.88 crore and Rs 0.7 crore, respectively.
The expectation of bumper crop this season and huge carry over stock in India may keep gains under check in cotton in coming sessions, said Kotak Securities.
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First Published on Sep 14, 2020 03:46 pm