The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1870-05-24
From the New York Commercial Bulletin
THE TOBACCO TRADE.
Present Anomalous condition of The
Markets

J
Market.
The position of this importantsk 'e
is In many respects a powell one. Inc
season for general activity has arrived
and yet TRANSACTIONS are not Large. and
/ the market may be said to open
wrong end frst;" that is, the West
ern and interior markets are higher
than this. and this market is higher
than the European markets. to which
our surplus must be sent. The situa
ton Is, therefore, critical one. and
requires careful consideration. to avoid
loss, while, to secure the legitimate
profits of trade, appears to be a work
attended with extraordinary difficult
ties. The shippers, or the dealer. or
the manufacturer, who buys now.
must do so with the probability
amounting to almost certainty, that.
except through a rise upora prices al
ready high, and the confirmation Of q
consumption already large at these
prices, be has no assurance of a profit
upon his transaction, wEile the
danger of loss presents itself from
many Influences. the precise nature
and importance of which he can not
clearly perceive nor accurately esti-
mate.
There is no question that the crop
OF kentucky tobacco is de6cient-say
about 30, ,00O hogsheads-and that the
quality of much that has. been secured
is very inferior. Virginia and Mary
land ofer only an average yield. The
stocks here aud in Europe have sell
dom been smaller. The crop has
been placed at high prices, and is in
the hands Of spectators or commis-
sion houses who will make every effort
to relieve themselves at a profit. or at
least without loss. Money is easy.
The want of buyers. If small, are GER
tain and pressing. General trade is
improving. and this fact faVors, under
ordinary circumstances, steady con-
sumption even at high prices
SO much may be- aid in favor Of
the seller. What is the aspect of af-
fairs as they affect the buyers? The
time has arrived for the crop to be
marketed. lit is now coming forward
with much freedom. Prices are SO
high that many consignees will feel
timid about holding or carrying the
article. Some speculative holders will
be under the necessity of selling. The
demand is of that cautious, hand-to-
mouth character which is so often
times fatal TO the maintenance Of
speculative prices And not the least
important consideration In this con-
nection IS the danger Of adulteratiOn
and the employment Of substitutes
Tobacco Is peculiarly liable to these
processes, by which It's consumption
at a high cost may be seriously refard-
ed. There is another drawback to
the strength Of the market. Ii has
been-usual in April for the Govern
ments of france, Spain and Italy to
award contracts In this market for
several thousand hogsheads, giving Us
assurance of an export demand to that
extent at least These contracts were
but partially, or as best irregularly,
awarded IN the month just passed, and
the circumstances attending them this
year are such that they do not afford
their usual support to the market.
In view. therefore. of the facts of
which we have given a hasvy review.
we must repeat that the position of
the tobacco market is q critical one.
requiring much care to protect this
important branch of the trade from
the difficulties which overlook cotton
and breadstuffs in the effort to main
tain prices il those staples. The for
mer began to decline under a dull
trade, aud the latter became depressed
when stocks showed an undue accu
mutation. notwithstanding the re-
serves to come forward were known
and admitted to be small And yet,
it must be observed that. aus far.
prices of tobacco show nc signs Of
weakness; In fact, the comparatively
moderate movement which began in
this market early in April, was (ipju-
| diciously. we are inclined to believe), J,
attended with some further advance
in the West. while, as to seed leaf, the
scarcity of the old crop has compelled
buyers to enter upon the new crop.
We are ID the midst Of the annual ex-
| citement in Connecticut tobacco,
/ which opened at extraordinary prices,
of which We already see the natural
effect; manufacturers are making
seconds" supply, to a large effect,
the place in which the finest qualities
properly belong In the lower qualities
of seed leaf, which are grown IN New
i York, Pennsylvania and Ohic, the
same course Is adopted: but it's effect
has not, as yet. been fully demonstra-
ted; il must. however, seriously en-
barass the execution Of export orders,
and compel Germany to greatly cur
tail her demands upon our market.