Kapas rises by 3 pct in futures trade

Written by Agencies | New Delhi | Updated: Jun 30 2011, 22:14pm hrs
Kapas prices rose by three per cent to Rs 676 per 20 kg in the futures market on Thursday following aggressive buying by traders, driven by firm spot markets cue.

Market analysts said heavy buying by traders on fears of low inventories, caused the sharp rise in prices.

Heavy rains in kapas growing regions also boosted the trading sentiments, they added.

At the National Commodity and Derivatives Exchange, kapas for delivery in February gained Rs 19.70, or 3 per cent, to Rs 676 per 20 kg, with an open interest of 70 lots.

Similarly, the prices for delivery in April hardened by Rs 7.10, or 1.06 per cent, to Rs 680 per 20 kg, showing an open interest of 3,025 lots.