The Sun.
London, England, 1862-09-13 00:00:00

STATE OF TRADE.

MANCHESTER, SEPT. 12.—We have had very
little business to-day in either yarns or cloths, and
exact quotations in these, as in cotton, are rather
difficult to get hold of. The prices of cotton were
reported here yesterday as 4d. per lb. under the
extreme rates quoted a week to ten days ago,
but to-day they are reported at a decline of
not more than lid. So, in cloth, the quotations
were reported 6d. per piece lower on Tuesday
for sellers, but so far as we can learn there
have been very few people willing to sell at more
than a nominal decline. But in yarn and cloth, as
in cotton, there is extremely little business doing.
The sellers of yarn say they have found a consider-
ably improved feeling for all descriptions ; holders
of yarn and speculators are very sanguine that we
shall yet see much higher prices, and are holding
on the faith of this improvement. The accounts
from all parts of this district warrant the belief

that many more mills will be closed than at present
as soon as the present stocks of cotton are worked
up, and the extremely small sales of cotton at Liver-
pool this week confirm this belief. The total sales
to last night from the previous Thursday (inclusive
were 12,700 bales, of which 5,300 only were to the
trade,The consequence is that the stocks of yarn
are reported to be getting within a very small com-
pass,al and a pretty general opinion prevails that we
h
see a renewal' of speculative operations next
s
week on a considerable scale. There is not much
doing for consumption, and most of the yarn in the
market is held on account of speculators. The tele-
grams from Calcutta are rather favourable, but at
present prices we heat of but little disposition to
purchase for export. The general opinion expressed
on the Exchange with regard to the proposed sub-
stitute for cotton is unfavourable. We speak of that
offered in London. Persons who have seen the staple
say that the appearance of it leads to a favourable
impression, but that on trial it would prove too
brittle for spinning by the machinery now in use,
and that on this ground alone, however suitable it
might be in other respects, it must fail of general
acceptance. Cloths are regaining firmness to-day.
It is still relatively much cheaper than cotton, and
the holders of stocks, who are mostly speculators,
are consequently encouraged to keep Possession in
the hope of higher prices. Some descriptions of
cloths are said to be purchaseablo at 2d. to 4d. per.
lb. under the current rate of yarns, and this is no
doubt the reason of so many mills stopping. The
general opinion among the sellers of cloth to-day is,
that by holding they will yet be able to get some-
thing beyond the extreme rates recently obtained.
This is the general opinion, and although, as above
stated, there have been no sales worth mentioning,
cloths of all kinds are held with much tenacity.
The regular merchants are still almost entirely shut
out of the market by speculators, and hence, though
we have telegrams from Calcutta to the 26th ult.
of a favourable character, they have led to no busi-
ness for export. It is believed that a good deal of
business could have been done at the rates of yester-
day, but prices are firm, and close with an upward
tendency.