New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1873-10-04
A BIG PLAY FOB COTTON.

BIG PLAY FOB COTTON.
The Chamber of Commerce of Memphi
E appointed a committee Of conference witt
the banks, and it reports the adoption b
5 eight banks of resolutions, which we pub
lish in full for the observation of on
!: cotton factors and dry goods merchants.
E Resolred, That the banks here represented
do hereby agree not to suspend currenc,
payments, but to pay checks of all dealers
. drawn against their currency balances al
usual.
I Resolced, That these banks co hereb,
agree 10 receive in paymen: of protnissory
notes and other obligations owned ty them
or Tor collections that are to he RENTED
ior New York exchange. a: :he eurrenl
buying rates.
Reso1oed, That the banks agree 20 open
with their dealers an additional account,
termed exchange account" for the receiv.
ing and crediting of New York exchange to
tnelr respective accounts, TO be payable in
kind and in such amounts 40 dealers may
desire, and that the banks will certify
checks OF their dealers drawn agains: such
exchange balances, payable in kind.
! These banks then agree: I. To pay
checks of all dealers drawn against their
currency balances. 2. To receive in pay
nent Of balances due to the banks or col.
!ectib!e by them exchange" a. current
rates. 3. To open special exchange &C.
counts 70 be conducted in the same me-
dium and by means Of certified checks of
the dealers.
The committee Ct conference then re.
ported. and the Chamber adopted the fol-
lowing resolutions:
Resolred, That the action of the banks OF
Memphis meets the hearty approval Of this
Chamber Of Commerce.
Itesolred. That the Chamber Of Commerce
recommend the merchants and planters in
the country to now send forward the cot
ton, Is arrangements have been made by
the banks whereby the cotton crop can be
moved.
Resolred, That it is the sense Of this
Chamber that the merchants and planters
Ia the interior act promptly on this resolu. |
tion, as the boarding OF cotton in the conn. !
try will have tendency to increase the |
monetary stringency, and thereby ultimate
y lower the price OF the staple.
A committee was appointed to confer
with railroad officials and steamboat own.
ers to inquire whether they will not re-
ee've exchange instead Of currency for
freight on cotton during the present crisis.
from these resolutions We infer that the
merchants Of Memphis propose to make
cotton exchange the basis Of buying and
moving the crop, and tia; the banks will
SO Tar aid them as TO pay out currency
upon checks and receive Eastern and fox
eign exchange in payment Of obligations
ana collections. This is bold step on {
The par: Of the banks and must depend I
'os success upon the collection and prompt .
remittance in currency of all exchange I
ent TO New York for collection and sale. t
t present anticipations Of restored circu. {
alton shall prove well founded, then the {
small amount needed by r
ienphis may be readily and regularly t
emitted. and her banks will become q :,
nipple agency in converting exchange b
nto currency. If there be. however, any u
itch or hang III these ,emittances by .
'hich the banks may no: De able to re. y
lace the daily drain Of currency checked "
ut. they will be driven speedily to sus. a
ension. -,
That this drain Of currency is very T
'astic was shown by the experience of O.
" own banks. which paid out on the D.
ae hundred dollar limi. one hundred CT
lousand dollars. and on the twenty-five bs
'llas limit forty thousand dollars per til
". We shall! watch with anxiety this Sc
I'D strategy Of the Memphis banks. 1t al
big play Tor the cotton crop. II the Sc
emphis factor can pay Gu. greenbacks til
Arkansas. Mississippi. Alabama. and sic
en- North Louisiana. we may find large re-
Re in our expectations where we least
pected it. The Memphis factor re. co
nmends to the planters TO send for or,
I'D their cotton "now," but offers a tic
her hazy argumen: that .'hoarding" 70,
'toE will ultimately lower the price Of ere
, staple It
The suhiee. is. however, commended to toe
Cotton Exchange, banking and con-. CO,
reiai interests. Memphis IS fixing up !: ,
lead the cotton trade. and when we re. rev
mbez her facilities for receiving and cur
piping directly cas-: her plans require sur
eyyation. if not coun:eraction. car