Cotton seen down in second half of November

Cotton spot prices in India, the world's second largest producer, are likely to extend losses over the next two weeks as harvesting gathers pace after holidays, but buying by yarn makers to meet overseas demand could limit the downtrend.

Trading is likely to be subdued as Diwali holidays and celebrations run through the first half of November.

Once those holidays are over, harvesting should start in earnest and rising supplies will combine with weak export demand to depress prices, traders said.