Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1882-09-14
COTTON IN EUROPE
Prediction that Stocks Will Run Low in
England and on the Continent, and
he Extremely Small
Even as Late as Norember-A Heavy
American Crop Needed to Give
Fair Working Supply.

JurRPoo1. August 3l.-Smith, Edwards
* Co. in their circular reviewing the condi-
-, ~ the cotton markets of the world and
~ croo prospect of this country, says:
The nrospects OF our market have to be
,rs.ted xitb reference firstly to the immedi-
a,s and secondly to the more distant future.
T. mnst be admitted that the scarcity of sup
,,Iv does not look less as the season advances;
rs have rarely seen tighter squeeze for
American cotton tnan Is ilkely 10 De expert
snced this autumn. Stocks everywhere will
nm almost to zero before the new crop comes
fraaIv forward. The greatest pinch will APP
nsren,ly be en- the Continent, where the ma
rbinerv can scarcely be kept running during
,be Ut two months; but here also our stock
81 American will run low as any time in
late wears. except perhaps the autumn of
1879. There is, OF course, the uncertain
element of spinners' stocks, but we doubt if
these are much larger than last year, or the
one before. except in Egyptian cotton. There
il also the uncertain question of the usual
reduction at stock taking; should that be as
large az of late years the scarcity here would be
excessive. but it seems TO be thought that it
will not be so great-this is, however, only a
surmise founded on the belief that the trade
have taken less cotton than usual direct from
America. Then the new crop is consider
ablv later in America than last year, and as
Continent far more hungry for early supply,
il is not likely that early shipments to Great
Britain can be as large as last year. All
these considerations point 10 an extremely
small stock of American cotton in Septem-
Der and October, and perhaps even in No
yember. for it ia evident that spinuers must
fill M their vacuum as soon as large imports
arrive and prices are at all moderate, so th al
il will take a long time to get fair stock
here. With these facts before us we greatly
doubt if prices will fall so fast as is expected
after The new crop arrives, and the visible
| supply will probably show a still larger de-
6ciency than it does now all through Sep
TENDER and October. 1t is quite clear from
these considerations that a heavy American
crop will be needed the coming season merely
10 give fair working supply, and we are
glad 10 report that the accounts thus far are
very favorable. The season has been Just
the reverse of last one-cool and rather wet,
and the plant is large and bushy and rather
exposed to injury from worms and shedding;
| there are, however, no accounts OF much
harm from these causes as yet, and we be-
| lieye that the prospect is as good as at this
time in 1880, when the crop afterward re-
suited in 100000 bales.
The accounts from Texas are particularly
| good, and the yield for that important State
| is expected to be the largest on record.
1 Ile state Oh lrdQe IN manchester, as we
| have already observed, is very bad indeed
| and we're we to look solely to it a fall il
l prices would appear inevitable. No doubl
| that opinion prevails widely among mer
| chants, and induces them TO abstain from
| buying till the new crop produces its effeci
| ON the raw "a sterial. WequestioD, however
whether it will produce the expected result
I When the time for active resumption of bust
| ness comes the cotton m achinery of the world
| will need to fill up, and starting the season al
we do with SO great q deficiency it will b
long before large stocks appear at any of The
| eatrepets II may well happen that the pres
emit scale of prices in Manchester will appeal
a moderate one even when measured by tn,
| level of next crop. Certain il is that tn,
| existing prices of cloth would leave no prof
| even upon the lowest quotations now curren!
| for next crop, and it may well be that some
| months hence merchants may take NOR
sanguine view than they do now.
With regard to the Egyptian question
| there is not much daylight since our last is
sue. The war has developed into more Sc
rIous affair than was expected, the larg'
force sent out seems to be all needed TO quel
| the strong resistance of Arab. He has evi
IDENTIFY organized the resources OF the coun
try in way that was not dreamed of at thu
| beginning Of the disturbance, and if, a
seems almost certain, the forces OF this coun
try gain the upper hand, it will only be by con
siderable effort and expenditure. II is quit
impossible to say how long Arabi's resistance
may last, but evidently the Egyptian cottor
trade will be paralyzsd for a time, and, al
we said in our last, there is danger of seri
GUS injury to the growing crop. Much viii
depend upon the operations of the next fort
night. If these compel rapid retreat oil
Cairo. the bulk of the crop may be saved
but if in desperation he floods the countrl
enormous injury may be done. The iuundS
ton of the Nile will soon be at its hight, an,
the coming month will be the critical time
both in a military and commercial point o
view. The one satisfactory feature is tina
no European power seems likely to inter
vene, aud Turkey is being put under sucl
restraints as greatly to limit It's power Q
mischief.