Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1863-05-09
Gotten, Cotton Goods aad Cotton Pros.

The present position of the markets for cot
ton aud cotton manufactures confounds the
wisest and most sagacious, and defes the expe-
riencs Of the oldest merchants.
When Fort D0nelson surrendered, in Fsbru-
I-sry, 1862, cotton had been advanced, partly
under speculative operations, but mainly be-
cause of rapidly diminishing stocks, TO thirty
eight cents per pound; but when the victory of
General Grant was announced, the doubts
which had begun to be entertained respecting
an early termination Of the war, were for tho
moment dissipeted, and cotton fell in a few days
to twenty-five cents per pound. The advance
in cotton goods had at that tine been moderate.
Pending the movements against New OIleans
aud Richmond, the recovery of cotton was very
slow. It Was D~otuntil after Pops's disasters,
and 8 prolongetion Of the war much beyond the
period which was generally regarded as the
limit of IFS duration, became certain, that prices
Of cotton and cotton goods commenced that
rapid advance which has excited so much spec
%ulation, and at The present moment threatened
to result IN financial ruin to many bold opera
tors. Cotton goods had advanced not more
than twenty-five 70 fifty per cent. until the re-
verses which the Administration forces encouu-
tered in Virginia took place, and cur currency
felt the influence Of enormous Government
issues Under these influences cotton goods sd-
vsuced tillthey were from three 70 five times as
high IS under ordinary circumstances.
Notwithstanding the high prices sbrosd, and
the unfavorsble state of foreign exchanges to
the importation of raw cotton, as well as of va
rieties of manufactured cotsons which had been
for years unknown to the import trade, was
produced By the high figures to which specula-
ton had forced prices il our markets. ships
continue to arrive at this port and at Boston,
from Liverpool, with cotton. A collapse has
been the consequence, nearly equal TO that
which followed the fall Of DOnelson, and with
much better reason. It hes been apparent for
some months that in certain descriptions of cot
ton goods the market has been in process of be-
ing overlooked at the prices ruling. For seven
or eight months past, until within a few weeks,
the consumption of cotton in the mills of the
Northern States has been about seven thousand
bales per week, or at the rate Of three hundred
and sixty-four thousand bales per mum. The
average consumption Of cotton in the same sec
ton, for the ten years preceding the secession,
was something near six hundred thousand bales;
but from this quantity were supplied goods for
the South, many Of them very heavy, and 8
large quantity Of cotton goods for the North,
the production of which Is now Suspended.
The cotton goods manufactured in the past year
have been Of the lightest character, and it is fair
to assume that the number Of yards produced
for general wear from the seven thousand bales
weekly, is nearly the average Of the most active
years.
The effect of prices upon consumption has
yet to be determined. Prices Of cotton goods
now Dc not warrant moro than forty-fve OF fifty
cents for cotton-tbe price is now sixty-GTo
eents-and it follows, Of course, that cotton
must either decline or goods advance. A very
material decline in cotton, if foreign prices
hold, is impossible Of the present rates Of ex-
change; an export demand viii intervene to
relieve the market. Bat it is more than prob
able dhose prices abroad are dependent upon
the export to this msrket and, on the other
baud, a vast quantity of goods must be cleared
of the marker, and a material advance esSab
lisbed over The highest prices yet asked or paid,
before our spinners can again start their slmcst
silent looms. The disposition of the people TO
iud substitutes for cotton goods in linens and
light woolens, which are much cheaper intrin-
sicslly, also enters into the calculation. It
would appear, also, that tho Coufederates are
making great efforts to get cotton through the
blockade, so that present supplies Of raw mate
rial will undoubtedly be kept up. Therefore,
on the hypothesis that the military status is 10
be msinlsiped for some months, balancing the
different influences against each other, there is
little reason to anticipate. any higher prices for
cotton goods Than have been paid at the great
auction ssles this spring, but that raw cotton
must decline to meet The views Of spinneTs.-
NsD Y05k World.