The daily phoenix. [volume] (Columbia, S.C.) 1865-1878, 1866-09-27
business Am New York.

We learn from the Herald that New
York is in the height of the fall bust
ness with the Southern States. Seve-
ral thousand merchants from South
ern cities and towns are there, and
the hotels are crowded with them.
The Herald says that there are ut
least twice us many merchants from
the South now in that city as there
were last season at the same time,
and adds that the sight of SO many
homespun suits and slouch hats in
Broadway reminds the practiced New
York eye of the prosperous ante bel-
lum era. Speaking of the Southern
trade, the Herald says:
Since the resumption of peaceful
intercourse with the South, mer-
chants from that section have found
little difficulty in procuring time on
their payments. individuals coming
here last year. exhibiting fair re-
cord forintegrity and business capa-
city, and offering to payIup as far as
in their power on their old liabilities,
were met in the most liberal spirit by
New York merchants, and we're given
credit on all the goods they required.
With few exceptions, they have met
their payments promptly. The usual
time given has been about four
months. This fall. however, and
within the past ten days, circum-
stances have arisen which have occa-
stoned great anxiety to our large
merchants, and which may have the
effect of seriously curtailing credits.
The ability of the Southern mer-
chant to meet his notes four months
hence depends greatly upon the con-
dltlon OF the incoming cotton crop.
If the crop is bad, or fails entirely,
he will fail to sell his goods or make
collections in time to meet his New
York liabilities. Unfortunately, the
crop is not very promising. Three
months ago, the general estimate was
5000, 900 of bales; since the plant
ing, however, a variety of untoward
circumstances have occurred to re-
tard or injure the crop. First, there
We're heavy rains, and then followed
a most unprecedented drought.
Finally, in some sections, the army
worm appeared. The most sanguine
calculators in every part of the South
do not now estimate a crop of over
100000 bales, while the average
opinion is considerably lower. The
latest reports continue to be unfavor-
able from all parts, except Western
Texas. Our merchants are naturally
anxious about this condition of
things, and some are hesitating about
extending their credits. If an early
frost should fall upon the cotton
crop, all credits would end imme-
diately for this year. Indeed, the
cotton supply is for the moment the
great question among our business
men. Its influence is felt in every
branch OF business. 1t has its rami
fications in every direction. affecting
alike the ship-builders in Maine, the
money brokers' in Wall street, the
spindle lords in Massachusetts,, and
the coal and iron miners in Pennsyl-
vania. 1t is depended upon to drive
our factories, freight our vessels, and
equalize our exchanges with Europe.
Upon the extent of the supply of
cotton depends the price of the most
common fabric we wear. Then again,
we are importing heavily from Eu-
rope, and must pay either in cotton
or cash. We will hardly be able to
send more than q half million bales
of cotton to Europe this year over
and above our own consumption.
The balance of our Indebtedness
must be paid in United States (inte-
rest in gold bearing) securities; and
it is serious question with some of
our economists if this drain Of gold
from the country to pay interest
abroad will not be the rock upon
which our finances will ultimately
split.
CANDID ACKNOWLEDGEMENTS Sc