New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-10-25
EFFECTS OF THE PANIC.

EE EO vi
THE COTTON TRADE DEPRESSED.
o,,>. ~ PAW COTTON PRRDICTED-sMAII' Or
Dyps FROM DOMESTIC AND FOREIGN MANUfAc-
TURERs.
The effect of the prevailing distress in the
money market the cotton trade was the subject OF i
o,,rv vesterday by TRIBUNE reporter. who visited
r,mber Of brokers and shippers and asoertalned their
ow, upon the state OF the trade George Copeland,
merchant dealing in the actual cotton, said that the
effect upon the trade very serious as was apparent
from tire fact cotton had fallen two cents pound
within few DAYS, and spectators were operating
with q view TO having even lower prices IN the
near future Cotton from the South coming IN as
freely could be expected under the currency srm
gency and the crop ready is fair one out
difficulties in the negotiation OF mercantile paper ana
the sale Of foreign exchange the high price OF hegh
and the stoppage many Eastern mills have depressed
tho trade TO such extent that little Is selling even az
the low prices. The FAN River nuns n"'o
recontly determined 10 work for only half the uSuA
number OF hours, and several other mills ID ai"SS'Vn
sets have determined upon the same course WHO
number OF others have reduced then IVIce' vi nav"
suspended operations altogether This Is tho peF'Oa
when the mills ordinarily stock up OF take on as
much raw cotton they can store ior use ana cObs
quentIy the prices are usually htue betler
at this time; but such Is the eHect OF 'ne ue-
nression that with these low prices there have
eve, from those mills that continue to and, Of
course none az all from those that closed. The
commission merchants who usually advance the money
to the mills for their purchases afraid to do so now,
which adds another the array OF difficulties. Some Of
their host paper has to pay per cent a month The
exporters are the only ones, comparatively, who are
dong any buying. and as they have no competition,
they are Of course. not disposed TO raise the price
among Themselves It is impossible to estimate how
moch the in domestic specimens has decreased
since the months before the panic. Tie brokers here
can only judge by the paucity Of orders.
Robert Tannah a receiver. who deals mainly In the
sale cotton domestic manufacturers, stated that
the mills IN New-York aud the Eastern States had re-
duced their orders to such extent that tho export
trade was the main left 70 the receiver here
Toe export cotton goes chiefly Liverpool and Man
chester. small amount going 20 the Continent but
EnrOpc had to be content with reduced shipments
because Of the difficulties in selling foreign exchange
The cotton crop OF the year about as good
a. a was ordinarily II not little better. The
rise IN freights TO %. pound within q
few days combined with the general monetary strin-
gency caused fall the price Of cotton from 16.
10 pound. The loss OF domestic spinning trade
by The closing of the mills has given the Greek mer-
chants-a very respectable class of gentlemen who
present large majority of the foreign buyers-amost
entire control Of the business, They can command
almost any amount of cotton they want at low prices,
there is little competition Currency is required
in the small towns OF the South 10 move
the crop, for it is a difficult matter during this
pressure 10 negotiate mercantile paper. The plant
ers not in debt. general thing,
and have not two years advances their CROP
and it quite likely that before long they may
sell at such low prices. The outlook is not al
together dismal for the furry finds the trade with
crop already matured, and as 1t article that must
be bad. both planters and consumers may consider
themselves fortunate that the necessity for raising it
under such depressing circumstances not another evil
before them. So long currency Is tight TO
prevent people from buying and foreign exchange is
low that cannot be sold, the trouble with the trade
will continue
Mr. EUtclhdi, Greek. who buys especially for Liver
pool merchants Manchester Manufacturers said that
the depression due mainly 10 the fall in foreign
change and the remedy consisted altogether ia return
OF monetary values 10 sonnd basis. The stOppage Of
the domestic mills course, contributed to the general
dulness the principle that competition the life OF
trade but the best they seldom took than 10000
baes a week, while England took 10000 No complaint
had yet heard from the manufacturers in England
They understood affairs here, and whereas
they once took $4,000 bales they contented them
selves with 1900 SO long reights high and
exchange was low, although cotton cheap, trade
must remain as il is
gentleman who dealt only in future deliveries"
said that prices for February and March ruling
quite high purchasers felt the depression in the
trade would be ended by those months and that none
tary affairs would then have resumed their normal
aitiOn. Asst is the trade is seriously affected