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 Rupee opens marginally lower at 83.09 against the US dollarThe Indian rupee opened 2 paise lower against the US dollar on Thursday amid a jump in US Treasury yields after the US Federal Reserve officials indicated that interest rates were likely to remain higher for longer. The local currency opened at 83.09 as compared to previous close of 83.07.Share market again opened with a bang Sensex falling by 296 pointsToday started with a decline in the stock market. Today, BSE Sensex opened with a fall of 296.11 points at the level of 66504.73 points. Whereas NSE's Nifty opened at the level of 19820.10 points with a fall of 81.30 points.

The rupee strengthened by 19 paise to close at Rs 83.08 against the dollar in the evening.Sensex, Nifty closed with heavy cutsThe Sensex closed down 796 points, or 1.18 percent, at 66,800.84, while the Nifty closed down 232 points, or 1.15 percent, below the 20,000 mark at 19,901.40.

Interpretation of USDA's Sep supply and demand report on cottonRecently, USDA has released Sep supply and demand report, which maintains a neutral to bullish outlook. For the monthly change, 2022/23 global cotton beginning stocks and ending stocks are forecast lower, while production and consumption are forecast higher. For 2023/24 season, beginning stocks, production, imports, consumption and exports are forecast lower, as well as ending stocks, which is bullish somewhat.1. USDA Sep supply and demand reportIn the USDA Sep report, the adjustments for the 2022/23 global cotton supply and demand were relatively small. The main changes were a reduction in beginning and ending stocks, with China and Turkey seeing a decrease of 110,000 tons and 190,000 tons in beginning stocks respectively. Correspondingly, the ending stocks were also adjusted downwards. Global cotton production was slightly increased, mainly contributed by Brazil with an additional 110,000 tons. The consumption was mainly adjusted upwards for China, adding 110,000 tons. With the decrease in beginning stocks, China's ending stocks reduced by 210,000 tons. As a result, the global ending stocks decreased by 210,000 tons to 20.29 million tons.As for the monthly adjustments in the global cotton supply and demand for the 2023/24 season, there were several notable changes. The global cotton production was further reduced by 380,000 tons, with the United States decreasing by 120,000 tons and India decreasing by 110,000 tons. However, Brazil increased its production by 110,000 tons. Global cotton imports were slightly reduced by 130,000 tons, with Vietnam's cotton imports lowered by 70,000 tons. The global consumption and export volumes were both adjusted downward by 230,000 tons and 130,000 tons respectively. India, Bangladesh, and Vietnam saw reductions in consumption, while the decrease in export volume mainly came from India. The cumulative adjustments to global ending stocks were lowered by 360,000 tons. With a reduction of 210,000 tons in beginning stocks, the net decrease in ending stocks amounted to 150,000 tons.2. U.S. cotton good-to-excellent ratio reaches a multi-year low, and worries over the production remainBefore the release of the USDA's adjustment to the US cotton production, there were various speculations in the market. Many believed that the significant downward revision in Aug had gone too far and expected a slight rebound or correction in Sep. However, considering the recent weather conditions and crop growth in the main cotton-producing regions of the US, it is not surprising to see a downward adjustment in production. Although there has been increased rainfall due to recent hurricanes, soil moisture conditions remain severe. Currently, the drought index has reached 185, which is 60 points higher compared to the same period last year. The drought index in Texas, in particular, has reached 306. Moreover, the good-to-excellent ratio of U.S. cotton crops also reaches a multi-year low. By the week ending Sep 17, good-to-excellent ratio of U.S. cotton crops was at 29%, 4% lower than the same period of last year.3. Brazilian cotton inventory pressure emerges and exports speed upThanks to favorable weather conditions, Brazilian cotton is expected to be a bumper year. The USDA has once again increased its estimate for the 2022/23 Brazilian cotton production by 110,000 tons. However, as planting was delayed last year, the harvest progress has been slower this year. Additionally, the exports have been delayed due to tight availability of shipping space caused by a large number of agricultural products being shipped together, leading to increased accumulation in warehouses and putting pressure on domestic storage capacity. As a result, the basis for cotton has been continuously weakening. With the arrival of new cotton on the market, domestic export sales in Brazil have picked up. As of the second week of Sep, cumulative cotton exports reached 63,500 tons, with a daily average export volume of 12,700 tons, an increase of 44.25% compared to the same period last year. It is expected that the export volume will increase by 120,000 tons in the new marketing year, which is reasonable.4. The shortfall of rainfall in India expands, and production and consumption is expected to be lowerAs of Sep 8, 2023, the total planting area for cotton in India reached 12.4995 million hectares, which was slightly lower than the same period of the previous season by 18,800 hectares, representing a decrease of 1.5%. As the rainfall deficit continues to widen, the expectation of a bumper harvest has gradually shifted to a reduction in production. Additionally, the effectiveness of new cotton varieties in controlling cotton bollworm has weakened, which has increased concerns about the production. While there has been some improvement in rainfall in certain regions of India recently, the two major cotton-producing states, Gujarat and Maharashtra, still face historically low levels of rainfall, significantly impacting the overall production. Furthermore, this year, the downstream textile sector in India has been sluggish, leading to reduced demand for cotton, and the adjustment of ending stocks has yet to be made in light of the decrease in production and consumption.5. ConclusionUSDA makes downward revisions in global production and consumption in its Sep report. Adverse weather conditions have caused a shift from abundant to reduced production in the northern hemisphere, raising concerns about supply tightness. As global consumption has yet to recover and expectations for a weak peak season are strong amid high cotton prices, downstream orders have remained weak and the disconnect between upstream and downstream has not been reversed. Although the production cuts provide some support to cotton prices based on the adjustment of the USDA balance sheet, the lack of improvement in consumption makes it difficult for cotton prices to continue rising. In the short term, ICE cotton futures may be in weak adjustment.CCFGroup

Pakistan: Mills raise hands on quality cottonLAHORE: The local cotton market remained stable on Tuesday and the trading volume was satisfactory.Cotton analyst Naseem Usman said that the cotton rate in Sindh is Rs 18,500 to Rs 19,000 per maund. The rate of footi in Sindh is between Rs 8,000 to Rs 9,000 per 40 kg. The rate of cotton in Punjab is between Rs 19,000 to Rs 19,500 per maund and the rate of cotton in Punjab is between Rs 8,000 to Rs 8,200 per 40 kg. The rate of cotton in Balochistan is between Rs 18,500 to Rs 19,000 per maund while the rate of cotton is between Rs 8,500 to Rs 9,500 per 40 kg.About 1,000 bales of Saleh Pat were sold at Rs 18,500 to Rs 18,700 per maund, 2000 bales of Khair Pur were sold at Rs 18,500 to Rs 18,700 per maund, 1400 bales of Tando Edam were sold at Rs 18,000 to Rs 18,500 per maund. Sold at rate. 1400 bales of Tando Edam were sold at Rs 18,000 to Rs 18,500 per maund, 1600 bales of Sanghar were sold at Rs 17,700 to Rs 18,500 per maund, 800 bales of Rohri were sold at Rs 18,500 per maund, Dera Ghazi. Khan's 600 bales at the rate of Rs 20,000 per maund, Bahawal Nagar's 200 bales, Rahim Yar Khan's 1200 bales, Chishtian's 400 bales, Yajman Mandi's 400 bales, Mian Wali's 600 bales, Harunabad's 2000 bales, Tonsa Sharif's 400 bales were sold at Rs 19,500 per maund, 1,000 bales of Bahawalpur were sold at Rs 19,200 to Rs 19,500 per maund, 2200 bales of Layya were sold at Rs 19,200 per maund, 600 bales of Rajanpur were sold at Rs 19,100. From were sold at the rate of Rs 19,500 per maund, 400 bales of Ahmed Pur East were sold at Rs 19,200 per maund, 200 bales of Vehari, 800 bales of Lodhran, 400 bales of Fort Abbas were sold at the rate of Rs 19,500 per maund.Spot rate remained unchanged at Rs 19,000 per maund. Polyester fiber was available at Rs 383 per kg.

 Rupee rises 7 paise to open at 83.20 against the US dollarThe Indian rupee opened paise 7 higher against the US dollar on Wednesday amid a drop in American currency and pullback in crude oil prices. The local currency opened at 83.20 a dollar as compared to Monday's close of 83.27.Share market opened with a bang Sensex falling by 506 pointsToday started with a decline in the stock market. Today BSE Sensex opened at 67090.81 points with a fall of about 506.03 points. Whereas NSE's Nifty opened at the level of 19990.80 points with a fall of 142.50 points.

Pakistan: Cotton market: Strong trend amid modest trading activitiesLAHORE: The local cotton market remained stable on Monday with low trading volume.Cotton analyst Naseem Usman said that the cotton rate in Sindh is Rs 18,500 to Rs 19,000 per maund. The rate of footi in Sindh is between Rs 8,000 to Rs 9,000 per 40 kg. The rate of cotton in Punjab is between Rs 19,000 to Rs 19,500 per maund and the rate of cotton in Punjab is between Rs 8,000 to Rs 8,200 per 40 kg. The rate of cotton in Balochistan is between Rs 18,500 to Rs 19,000 per maund while the rate of cotton is between Rs 8,500 to Rs 9,500 per 40 kg.About 600 bales of Saleh Pat, 400 bales of Rasulabad were sold at Rs 18,700 per maund, 1000 bales of Tando Edam were sold at Rs 18,000 to Rs 18,500 per maund, 600 bales of Shahdad Pur were sold at the rate of Rs 18,300 to Rs 18,500 per maund. Maund, 400 bales of Tunsa Sharif were sold at Rs 19,200 per maund, 1800 bales of Laiya were sold at Rs 19,100 to Rs 19,500 per maund, 600 bales of Raj N Pur were sold at Rs 19,200 per maund, 200 bales of Donga Bonga, 200 bales of Mianwali were sold at Rs 19,500 per maund, 200 bales of Chichawatni were sold at Rs 19,400 per maund and 600 bales of Dera Ghazi Khan were sold at Rs 19,500 per maund.Pakistan Cotton Ginners Association has released the figures of cotton production in the country till September 15, according to which during this period, cotton production in the country was 39 lakh 34 thousand bales as compared to 17 lakh 47 thousand bales, which is about 80 percent more. Compared to the same period last year.Spot rate remained unchanged at Rs 19,000 per maund. Polyester fiber rate increased by Rs 5

Sensex closed with a huge fall of 242 pointsToday the stock market closed with a decline. Today the Sensex fell by about 241.79 points and closed at the level of 67596.84 points. Whereas Nifty closed at the level of 20133.30 points with a fall of 59.00 points.In the evening, the rupee closed at Rs 83.27 against the dollar with a weakness of 8 paise.

Pakistan Weekly Cotton Review: Spot rate rises amid whitefly challengeCotton prices remained stable last week. Spot rate increased by Rs 1,000 per maund. The deadly attack of white fly on the cotton crop is being described as worrying, as the crop is likely to be badly affected. Government officials and agricultural experts are actively working to combat the whitefly attack. Helicopters and drones are being used for spraying.Textile sector exports are seeing a decline while cotton production is expected to increase by 70%.There was a decrease in the arrival of cotton in the local cotton market last week. The arrival of cotton is also less because farmers are demanding higher prices for cotton. Another major reason is the attack of the dreaded whitefly on the cotton crop and relatively low crop yield due to high temperatures.Due to these reasons the price of cotton remained stable. Due to such reports, textile spinners are cautiously purchasing cotton.According to the information received from cotton producing areas, there is a strong attack of white fly on the cotton crop. Due to which, according to experts, cotton production will be less than estimated.It has been seen for many years that the month of September proves fatal for the cotton crop. This year too, the month of September is showing its cruelty and is having a bad effect on the crop.However, rain is expected next week and if weather conditions improve, the impact of whitefly attack will be partially reduced.Punjab's interim Chief Minister Mohsin Naqvi, interim provincial minister SM Tanveer, APTMA and other agriculture experts are actively working to protect the cotton crop from whitefly.Cotton rates in Sindh range between Rs 18,500 and Rs 19,000 per maund. The rate of footi is between Rs 8,000 to Rs 9,000 per 40 kg. Cotton rates in Punjab range between Rs 19,000 to Rs 19,500 per maund while cotton rates range between Rs 8,500 to Rs 9,300 per 40 kg. In Balochistan, cotton rate is between Rs 18,500 to Rs 18,800 per maund and cotton rate is between Rs 8,500 to Rs 9,300 per 40 kg. There is a bearish trend in the prices of cottonseed and oil.The Spot Rate Committee of Karachi Cotton Association increased the spot rate by Rs 1,000 per maund and closed it at Rs 19,000 per maund.Haq held the weather department responsible for the weather-related losses suffered by the agriculture sector over the past several years due to lack of timely and accurate forecasting.He says that due to global warming, meteorological departments around the world have been significantly upgraded in the last few years so that timely and accurate weather forecasting of the rapidly changing climate can protect crops and the environment from maximum adverse effects. But in Pakistan, he lamented, the department's equipment was not upgraded and instead it was transformed into a climate change ministry, which could not have any positive impact on Pakistan's agriculture.The federal and provincial governments had declared 2023-24 as the Cotton Year and their efforts were expected to lead to a record production of 10 million bales of cotton this year.According to reports, the weather is becoming mild and it is raining in many areas. It is expected that it will prove beneficial in controlling white fly attack.Meanwhile, the cotton production figure till September 15 is expected to be around 3.8 million bales, which is around 1.6 million bales higher than the production of 2.2 million bales in the same period last year.Copyright Business Recorder, 2023

Rain, winds dash Muktsar cotton farmers’ hopesThe rain accompanied by speedy winds on Friday caused a massive loss to a large number of cotton growers in the region. Cotton plants, which were standing nearly eight feet tall, have fallen flat on the soil.The farmers are claiming that it will cause them a massive loss. “We were expecting a bumper crop of 17 qtl per acre and the plants were also standing tall. However, the rain yesterday dashed our hopes. We have already spent nearly Rs 30,000 on per acre of cotton crop, including the expenses on seed, pesticides, labour, diesel, etc. The state government should help us in this hour of need,” said farmer Gurdeep Singh of Daula village in Gidderbaha block of Muktsar district, who has sown cotton crop on seven acres.He added, “A cotton plant is sensitive and it can’t stand again with sunshine. Just a few farmers had done the first picking of the crop. The cotton crop is usually picked in three rounds, which lasts till mid-November.”Gurdeep further said the situation was almost similar in neighbouring Balluana village of Bathinda district. Meanwhile, similar reports were coming from Abohar area in Fazilka district.Gaurav Kumar, a commission agent from Abohar, said, “A number of farmers were yet to start cotton picking. The rain at this stage has caused massive loss to them.”Meanwhile, Gurpreet Singh, Chief Agriculture Officer, Muktsar, said, “The cotton crop got damaged in some parts of the district due to yesterday’s rain and wind. Farmers from Malout and Gidderbaha subdivisions have informed us about the losses. However, the situation is normal in Muktsar subdivision. Earlier, we were worried that the cotton crop was drying due to hot weather. Even the canal closure had created a problem for the cotton growers.”He added, “The rain has, however, given some respite to the paddy growers, especially those who had sown its late varieties.”Meanwhile, some farmers claimed that the growing sugarcane crop too had got damaged in some parts of the district.Some kinnow growers from Abohar in Fazilka district said yesterday’s rain and wind may impact the quality of the fruit as well.Tribune News Service

Rupee opens 10 paise higher at 83.09 against the US dollarThe Indian rupee opened 10 paise higher against the US dollar on Monday. The local unit opened at 83.09 a dollar as against Friday’s close of 83.19.Heavy fall in stock market, Sensex opened with a fall of 243 points.Today started with a decline in the stock market. Today BSE Sensex opened with a fall of 242.91 points at the level of 67595.72 points. Whereas NSE's Nifty opened with a fall of 63.50 points at the level of 20128.80 points.

This evening, the rupee closed at Rs 83.19 against the dollar with a weakness of 16 paise.Sensex rose, closed 320 points higherToday the stock market closed with a rise. Today Sensex closed at 67838.63 points with a rise of 319.63 points. Whereas Nifty closed at the level of 20192.30 points with a gain of 89.20 points.