The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-08-14
THE COTTON CROP.
The Lack Of Currency May Hinder IL
Movement OF 1t.

The Lack of Currency May Hinder the
Movement Of 1t.
Local rains Throughout Texas, say
Hubbard, Price g. Co. in their circular,
have broken the drought which threat
ened serious injury to the cotton crop and
created the belief in the trade that the
crop in that state was now out of danger
Doubtless the situation has been greatly
improved, but the cotton crop is not
made on Aug. TO- and has many weeks vet
of weather conditions to encounter. I'm
der the influence of this rainfall and the
improvement in the reports from the
Mississippi valley, the market has rap
idly declined, touching the lowest quota
tiOns made on this crop for autumn de-
livery
The bureau report published yesterday
giving the average condition on Aug. / as
So per cent, is the lowest August report
published since 1879, but the statement by
the department that the crops had i'm
proved since the report was compiled had
the effect Of bringing free selling orders
from those who expect the present dis
trust in business and financial circles to
cause trouble in moving the crop TO mar
ket AS the markets are without specu-
lative support and the demand from the
New England spinner is lacking, the pes
simistic feeling is in full control and a
further decline is confidently looked for
ward TO as almost certain. Undoubtedly
the south has not yet felt the panic as
severely as have the manufacturing cen
tiers of the north, or the farming com
munities of the west where it is almost
impossible to market the incoming wheat
because of the Generalization of credit
This factor must be given due weight in
considering the prospect for the. ready
negotiation of the cotton crop, but at the
moment the decline has carried this mar
lnet below a parity with Liverpool, and
the stock of cotton here may be expected
to move to the other side before the new
crop can be handled, because it is nearer
to the foreign markets, and the exchange
is readily negotiable.
Unless congress should quickly repeal
the purchasing clause of the Sherman
law and so restore confidence, 1t is diff
cult to see how the south can fail to feel
the disastrous effect of the loss of conf
dence this measure has brought to the
country. The southern banks are prob
ably better supplied with cash than the
banks in any other section, but when the
supply of cash is paid out the situation
will be similar to that in the west, where
it is now reported to be impossible to
move wheat on the security afforded by
the bill of lading attached to the draft.
We treat of the financial situation at
length because the foreign demand for
cotton is likely TO be better than for seve-
raj years, as trade in Europe and the dis
tant east is better than for years, and
under ordinary circumstances we should
witness an active demand for cotton at
good prices.
At the moment, all other factors are
overshadOwed by the feeling of distrust
which pervades all sections, and the only
hope Of its not reaching the south and the
cotton planter is, that congress will act
by repeating. the Sherman law before the
crop moves freely to market. Unless such
action is taken the receipts will probably
Delight and prices low through the sheer
inability to secure the necessary money to
move the cron.