Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1882-12-23
FUTURES"
Are Opposed 10 the Best Interests OF
the Memphis Cotton Market and
Should Not Any Longer
Be Eneoursged-The Abolition Of the
"CalI Board" and a Return to Old
Methods a Pressing Necessity.


Your valuable and influential journal has
held no uncertain position with regard 10
speculation in futures, whether in corn,
wheat, cotton or grain, and your able edIto-
rails have often exposed and condemned the
whole future business az practiced in Liver
pool, New York, Chicago and other large
markets. We feel encouraged, therefore, 10
beg permission to speak through your col
umns of the subject as connected with our
own city and lis trade. Our Cotton EI-
change at this time is profoundly sgitated
with regard to this very matter. Las. sum-
mer the Exchange, through the persistent
efforts OF several OF its members, was induced
10 establish q Call Board for the purpose
of facilitating and regulating the purchase
and sale of cotton futures, and thus 10 fully
launch Memphis On the trescherous sea Of
gh-pressure cotton speculation. In effect
ing this change a complete and fundamental
obliteration was made in the constitution
and bylaws of the body; and, from simple
mercantile organization established 10 inter-
change views, gain information and facili-
tate legitimate business transactions, il be-
came close sock company, having appa-
rently for its chief object the bnild'ng up of
the future business and the erection OF a
costly edifce for the accommodation of the
Exchange. Certificates of stock were put at
$3.50 each, and memberships were made per-
sondi. No one co1ld become a member without
being a stakeholder, and thus firm Of two
members would have an expense OF $500,
and firm OF three members $3.50 to begin
With, besides SIS additional for each member
for yearly fees. This heavy expense was
practical exclusion for many young frms,
and firms handling only moderate quantities
OF cotton, who were quite willing TO pay the
500 for yearly dues under the old system,
but whose business did not justify the enor-
nous expense imposed under the new ar
rangement. Other firms, for other reasons,
objected TO being dragged into a stock com.
psny noleas uolens. The membership OF many
of these firms expired on the let OF December
under the old system, and have not been re-
newed under the pew-aud now rupture
threatens the Exchange. Though all the
necessary paraphernalia was duly provided
for inauguratipg the game OF "bsars and
bulls" imposing an additional expense of
several thousand dollars on the treasury of
the Exchange, yet, to the credit of our mer-
chants and people, LET it be slated that the
whole experiment OF grating the questiona-
Bile business Of future dealing on the legiti-
mate cotton trade of Memphis has thus far
proved fat failure, and neither "calIs' nor
quotations are any longer attempted. The
people of the South have learned
wisdom, either from their rough
experience and heavy losses last
winter, or from exposures and warnings of
faithful public journals like the APPEAL.
And so it happens that the Future Board OF
the Memphis Cotton Exchange has gently
dried up, and is dead, veTy dead-in fact,
quite defunct. Many OF the members, rec
ognizing this fact, and believing that the
whole future business is an unmitigated evil,
and that the recent change made in the con-
stitutlon and character of the Exchange was
a stupendous mistake, are now making an
effort to abolish the Call Board and the
Stock Company, and restore he old order of
things. In this effort they should receive
the approval OF all good citizens who un-
dersiand the tendency and effect of dealing
in futures, and especially of the public
journals, which are leaders and educators of
public sentiment. The future business has
grown 10 such immense proportions and is
so vicious and demoraliZiDg in its effects
that 1t has attracted attention and excited
alarm all over he land. j Judges on the bench
have denounced it az criminal and have in
strucled grand juries 10 indicl and prosecute
offenders, bu. so shrewdly is the spirit of the
law eyaded that convictions are diff
6cut 10 reach. Legislatures are investigat-
ing the evil with view TO framing effective
laws for its suppression, but go corruping
has been Its influence that legislators them
selves are controlled by il. Even in the ma
tiouai Congress measures are proposed for its
extinction. The people all over the land
have been more or less demoralized by it,
and have been feeced and plundered BY the
INSCRIPTIONS rings in New York and else
where, which so shrewdly aud coolly mauip-
ulate the business. Shall not Memphis
business men, who are engaged in the legit-
innate pursuits of honorable trade set their
heels upon this evil which unseItlrs light
innate business, destroys the credit OF the
community that engages in it, deludes and
defrauds our people and, perhaps worse than
L..
them up to be reckless spectators instead Of
making them steady, patient, Trustworthy
business men? 1t is 10 be hoped that our
Cotton Exchange will get back 20 lis old
conservative basis on which it was originally
organized, and that il will repeal the condi-
tions which now make it exclusive and which
bar from its membership many firms which
desire TO belong to il and are willing to pay
all reasonable fees for the privilege. 1t is
desirable TO unite this entire busi-
ness community in sustaining an efficient, |
legitimate Cotton Exchange, and to this end |
1t seems the part of wisdom TO make The ex- |
pense and conditions of membership as
light and unobjeciionable as possible, |
Memphis is not yet large enough to |
initiate New York in these things. The |
fable OF the Frog and Ok" might be re- |
membered with profit 10 this connection. |
Let the building project pass for The present |
until it can be carried out without necessitat-
ing such forcing process. Or let it be PIT |
on an independent basis, 10 itself, making |
su Inscriptions 10 the stock altogether volun-
tary and not compulsory prerequisite to |
1t is doubtful policy at best |
for such body 10 embark in real estate in |
or the erection of costly buildings. |
1t is safer TO rent or lease. What is wanted |
in the Cotton Exchange now is harmony, |
unity, economy, and earnest work IN build |
ing up Memphis as great market for cot
ion-for actual cotton aud not phantom tu- |
lures. A Meeting OF the Cotton Exchange is |
announced for to-day 10 take action on |
This whole subject, and its result will prove a /
N after of deep interest, not only to our cot
ion men, but TO the entire business commu-
nifty. FACTORS.
The office OF the Southern Express Com
pany will be open on Sunday, December
l4lh from 8 O'Clock am. until IL o'clock m.
Packages will be delivered on application 10
he delivery department, No. 40 North Court
street.