The New Orleans daily Democrat., 1878-01-16
Liverpoe, Annual Cotton Circular.

Mr.. 8. H. Buck. the able and obliging secfe-
tary of the National Cotton Exchange. has fur
nished us with copy OF the annual cotton cir
cular OF Messre, Smith, Edwards 4 90. Liver
pool from which we take the following ex-
traets.
The Manchester market during The past year
has been characterized by even greater de-
gree OF depression than that OF Liverpool. No
year since the American war has told 80 severe
ly on the trade OF Lancashire; i cannot he
doubted that during most OF that time large
part probably the larger part OF the machinery
was worked at heavy loas. AZ ?, soon a. the
c9attraes which were 2, running I'm at the beginning y
them at paying prices, and the business has
been OF the meres' hand to mouth character. and
wholly without animation. The complains Of
producers have been ptiable. and ever and anon
efforts have been made to reduce production
by working short time. but except for about
two months In the autumn no material redue.
tion was effected. 1t has been found i'm possible
to unite the trade in any movement for curtail
ing consumption. and such reduction as took
place was merely The reault Of individual action.
Some failures have occurred among .spinners
during the year, but fewer than might have been
ham have felt the pressure OF the hard times
exceedingly. Their shares have fallen heavily.
and II report speaks true. great financial diff
Guilty T. espsreneed by seme 2, ,l OF them En-. They
was expected, and hardly any failures have oc-
Cured among them
The prospeets Of our market for the, coming
year may be briefly summarized. The sta
tisuoal position of cotton ia extraordinarily
strong: az we have observed in previous is.
have ied to Wild speculation in former times
and much higher prices. but ears of wretched.
ly bad trade and constant disappointment have
cured the community Of sanguine tendencies,
and produced chronic state of suspicion and
fear. The recent enormous receipts nj the
American ports have somewhat reduced the
threatening aspect Of figures. but even yet they
Crop estimates In America month ago
varied from t2So,oeo to 100000, 100000 but @ we we
hales Let us take that as basis for calcula-
ton, and as receipts are still 200 900 bales be,
hind last year. they must henceforwnrd exceed
to give much less than last year; Egypt q little
less: India probably 100000 bales more; Tut.
ting these oil together the excess OF supply that
mated nj 1000 bales. Aga inst this we have a
deficit Of about 100000 bales In the visible sup
ply. and very large decrease IL, the Invisible.
nent. are as bare as they ever were at this tim9
OF the year, We incline to think they hold
100000 bales less than last year There Is thele
prospect Of 100000 bales to come to hght heN'
year. ,,.,.., .,,. ,,, hovo
lion ali over Europe. The consumption OF
Great Britain was below 1870, and probably nc
greater than in 1879 and 1874 there - mo aohn ha
Increased 100000 bales since 1874. Inc sane
observations apply to the continent. Ihere u
great power of expansion there as well ~
here. We cannot doubt that with peace an
fairly good trade Europe would consume zoo, ,ov
bales more than last year. However bad TRADE
may be It can hardly consume less conss
ouently the figures we have put forwart
point to deficit in the years supply OF YER!
serious magnitude.
There is every indication OF the consumption
: OF cotton having gained unduly upon its pro
duction and unless he American crop shoult
proye mach larger than is now supposed. W
must be prepared for year OF rising prices
and Il may be for a very considerable advance
Much OF course depends upon whether th
negotiations now entered into between kussi
and Turkey result in peace: no opinion
worth anything st this stage. but II may be pre-
iicted that If peace results time Of consider
AHA excitement will follow. II. on the othe
hand a failure occurs. it cannot be disguise
that year OF political anxiety may be befor
ns If the Russian armies reach Constantino
nIe next YEAR. the fabric of Ottoman power |
Enrone will probably dissolve, and serious is
snns Win arise which may threaten at times
widespread confederation; Such state {
things would weigh upon business and go fa
IN ncnunterbalance short cotton supply. II i
tberefore. better to abstain from any positi,
oninion while events of such Importance han
in the balance. The next few weeks will be
time of anxious suspense. and we can only ecf
the general hope that the new year will ush'
in peace that viii put an end to the mo