The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1888-10-20

front with an article in reply to the crit
cisms OF the Ne,ps ON the cotton exchange
method OF quoting cotton. The Neips has
never yet refused to give fair and full
opportunity to a contempory TO answer
any criticisms that may have appeared in
its columns.
The NeWs does not care to do New Or
leans an injustice. If the explanation
given below from the lem sustains New
Orleans, the Crescent City" is welcome
10 the consolation. The Item introduces
Gen. Hazards explanation as follows:
mot satisfied with the ITEMS showing
up OF the failure OF the attempt OF the
Meridian Neps TO prove that the New
Orleans Cotton exchange quotations of the
4th instant did not fairly represent the
market, the Nc,ps insists that it has the
authority OF Hazard & Co. for report Of
sales on that day at 81 cents for middling,
whereas the exchange, on the same day,
quoted that grade at 00-l6 cents, or 3-l6
cents higher"
The Nelcs quoted Hazard & Co.'S letter
in full. 1t speaks for itself. The Nes
put one construction upon it, the Item an
Gen. Hazard another. In his second exr~
PLANTATION in the Iem Gen. Hazard says
Referring TO the criticism Of the Me-
ridian Neics concerning an apparent diff
ference between quotations in q letter
from our firm 10 Meridian correspondents
on the 4th inst, and the official figures OF
the New Orleans Cotton exchange, have
only to say that the entire matter is q
tempest in a tea pot due to the fact that
the editor OF the interior newspaper does
not fully comprehend all the details OF the
matter he attempted to inquire into.
"The sale OF middling at 0sc in New
Orleans cotton was f. o. b. cotton. The
quotation OF tho cotton exchange was for
spot cotton.
"As said in my interview in the Ren
country merchants unfortunately look 10
spot quotations, which for the moment
are much above the future market for the
same month, for the reason that exporters
will pay for imme late shipments much
more than he will for deliveries ten or
fifteen days hence Now in my letter
dealt exclusively with I. o. b. cotton.
said in substance we could not get ~
cents for middlng I. o. b. because mid
ding T. o. b. sold here lin New Orleans(
today at 81 cents"
Gen. Hazards explanation is ingenious.
| II must be admitted, and has about II
not acquainted with the facts. But the
issue IL slightly shifted.
In referring thereto, the Mars will agree
| with Gen. Hazard on one point and that
| Is that country merchants unfortunately
look 10 spot quotations" when these quo
taiions are several points higher than fig-
urcs obtained at actual sales.
IL Is unfortunate" that the New Or
leans cotton exchange is under obliga-
tons 10 the country 10 revise its quota.
tons so that they shall read: Middling
(spots), 0-l6c; middling (actual sales),
DC. -
The Country merchants" will then
know what their cotton is actually worth
in New Orleans.
But To the Mutton. Gen. Hazard
says, exporters will pay for immediate
shipments much moro than they will
pay for deliveries ten or fifteen days
| hence"
Admitted. The Neiu will attempt 10
correct Gen. Hazard on his own state
ment. To do so IL will be necessary 10
hold him down 10 facts and 10 his own
words
The ilrst point Gen. Hazard makes is
that Carter 4 Co.'S cotton was In Meridian
add hence in the position Of cotton for
future delivery"
Admitted. But Hazard & Co. in their
letter say:
"Midlling g. o. b. cotton sold here lin
New Orleans) today at o! cents"
The Nds maintains that that cotton
was In New Orleans and ready for imme.
date shipment. In support Of this Gen.
Hazard Is quoted against himself. lie
says,
with {. q. b. cotton"
Now, how comes Il that Exporters will
pay much more for cotton for "immed-
late shipment than they will for future
deliveries, and yet their IL o. b." prices
IN New Orleans on ociobor4, were only 20
points higher than futures while "spot"
cotton tina, Ia actual cotton Tor future dc.
livery l. o. b. was % points higher than
futures and Is points higher than ~. o. b."
! cotton 10 sadly needed for ''immediato
shipment by badly cornered exporters.
In brief, where there Is an urgent de-
mand for cotton for immediate delivery,
any one can understand that the urgency,
the demand, makes cotton at hand more
valuable than cotton which cannot DO So
cured instanter 10 Oil contracts.
But, IN the name 81 common sense, WV
should spots TO be delivered prior 10
Immediate shipment DO worth 3.i6ths of
= cent q pound more than cotton that il
l. o. b. ior Immediate shipment, and
TO get which the exporters are willing To
sacrifice everything. even 10 their wiie's
relatives cash.
Gen. Hazard continues
=" Bearing out the Meridian N0rs' conn
parison Of 9TH between spots aud futurcs
IN New Orleans We have spots p.i6 or
BOO, futures DIS. difference $50 or eay
about ! Of cent in favor Of spots.
Rule & 81 the {. O. b. rules OF the New
Orleans Cotton exchange saws 'Unlcrl
any special une Ia agreed upon between
buyer aud seller. all cotton sold FREQ on
board shall be- shipped from the interior
points at which Il Il purchased within Sen
days from date Of contract, weather per-
milling, and barring obstacles over which
the Interior shipper hes no CONTROL etc.
Now, every purchase or sale Of free on
Doard Is necessarily for forward delivery,
and Is, ~ said, moro or less governed In
price by futures, which also pariako Of the
same nature.
THE dealings Of our firm arc In free on
board cotton, and our quotations Of sales
were Tor that description and no other.
and while ! hardly think that the Meri,
dian paper desired 10 deliberately and
wlllully mIsrupvsont ~, | think they
should have made more careful inouiry
into facts before they attempted TO tackle
the mgiter.
FINALLY, maintain that quotations of
middiing spots. October 4. dD.lgc. mid.
ding lrcc ON board, October I. pic. mil.
ding lhalpsl, October duliNcfie. prtoi.t