Southern Argus. [volume] (Columbus, Miss.) 1834-1842, 1839-07-02
[CIRCULAR.l


in relation to the cotton market. These
advices.. it's apprehended, do not disclose
even the full extent. the dangerous situa-
ton in which our great staple IS placed.
The diminished demand for yarns and
cotton goods on the continent the short
harvest of the last year the shipment of
bullion frem the Bank of England must
all inevitably tend TO a greater and more
accelerated decline in prices, if some steps
arc not promptly taken to prevent the re-
manning stock Of cotton now in the coun-
try from being offered for immediate sale
in the European markets.
If The consumption of raw cotton in
England had only diminished some 10 or
10 per cent. till in consequence of the now
clearly ascertained deficiency in the last
years crop, (Which has fallen nearly as
low as the lowest estimate) past prices
would not only have been safe to the ship
pers, but profitable, and hence they are
not obnoxious to the charge of unwarrah-
table speculation, which so oftea deprives
the spirit of rash commercial adventure OF
all Just claim to sympathy.
This extraordinary falling off in the con-
sumption OF the raw material, is perhaps
not little aided by determination on the
part Of the English spinner to have the
residue of the crop at his own price, under
belief that as the great and tenacious
holder of the last year is out Of the market,
there exists no serious difficulty in his way,
by working short hours for few weeks,
to accomplish this desirable end 1t be-
comes necessary, therefore, to supply the
absence Of this great protector by some
cooperation among individual interests.
Now it is quite obvious that but two
modes would De likely to counterfeit the
result that must otherwise inevitably flow
from the causes just Indicated.
The first would be to organize through
the all of the Bank of the United States,
and the banks Of the principle emporiums
Of the different States, combination suffi
| GENTLY powerful TO advance sum on each
bag of cotton on this side of the water
which would ensure its being kept in this
country for three months.
The other scheme would be to concen-
trate in one house N Liverpool, the whole
i
forward, by an arrangement for unfailing,
adequate and collateral aids, sufficiently
powerful to enable the house IN question TO
hold over until greater part of the pres
ent stock of cotton in England is worked
off at an advanced price, a result which the
successful execution of this plan would in
evitably secure. The first scheme how
ever is liable Notwithstanding its direct and
immediate power to produce the desired
result,) TO the objection of arrcsting all our
foreign exchange operations, which might
hazard the ability of our Banks, even in
the Atlantic States, to continue specie pay
ments, whilst the last project would be
entirely free from this objection, as it would
at once augment the current of exchange,
and enable us TO weather the crisis, which
the first plan would be too apt to produce.
These views are the result of confer
ence which yesterday was held with one Of
the most influential and intelligent mer-
chants of Philadelphia, in conjunction with
commercial gentlemen of equally high
standing from other portions of the Union.
1t is therefore announced to you on the
best authority, that an arrangement has
been made, by which an advance of three
fourths ION what may be estimated as the
present market price Of cotton, say IA cts. J
will be made on every bale in this country
at all our principal shipping ports, TO all
holders, if they desire to avail themselves
of the advantage. The consignments are
to go forward to Humphreys & Biddle,
who, sustained by adequate means on both
sides of the water, will be able to hold on
until prices. vigorously raNy.
IF the usual casualties of the season rem
der short, or any thing under an aver.
age crop, probable, this plan must result
III great profit to shippers and benefit to
our country. If, on the other hand, the
autumn should disclose the promises of an
abundant harvest, the large stock of cot.
, ton which Messrs. Humphreys & Bddle, IN
case the shipments made to them would
hold, would probably induce the great and
powerful interest which sustains them, tc
enter the market in the United States earl,
!. in the autumn, by advancing on the frs
quarter of the new crop in order % retan
1t on this side Of the water for a reasona
G bic period, so as to make the final resul
0 of the short crop of 1888 entirely safe il
T all American shippers and holders.
A copy of this Circular is enclosed t,
q the principal cotton factors and shippers
), and presidents Of the banks in the southern
cities.
P. S,-From the most authentic source
: of information you may take the foIIowin,
7 as the probable and entire stock of cottoi
: in the United States of the crop of 1885
: on the 18th day of June next ensuing
either actually present in depot. or 10 com
forward from the interior markets.
4 New Orleans. 100000 bales
7, Mobile, $4,000 do
s Florida, $4,000 do
9, South Atlantic States; 10000 do
?, New York, 10000 do
4 unenunlerated points, $4,000 do
r 275, 900 bale.
! of this amount, the manufacturing Is
: Establishments ofthe United States will r
quire at least $4,000 before The. new Gro
!. comes into market, leaving about 10000
! bales for foreign export. Il ought TO s
d, remafkeds that the bales this year are. I
i per cent. short weight from the now Gene
abuse OF smaller COMPRISING boxes, vii