Mexico weekly ledger., 1895-09-05
WHEAT IN THE NORTHWEST.
The Movement WILDE Heavy and Will
Exert q Marked Influence
on Values.

Messrs. w. G.. Press & Co., Grain
and Commission Merchants of Chica-
go, in their special market letter TO
the LEDGER say:
The Wheat movement in the North
west has fairly begun, and unless re-
tarded by unfayorable weather. will
doubtless continue for many months.
The crop in that section is so large
that the movement must necessarily be
quite free and exert a marked intiIi-
ence on values. If the Wheat problem
could be solved by considering domes-
tic conditions. there could be found
substantial reasons for anticipating
higher prices; but as it requires Il care
full survey OF the entire field, which
practically embraces the world, to COM
prehend the situation, any conclusion
based on domestic conditions alone
will prove erroneous. For several
years has America been forced to meet
the competition, in European markets,
of Russia, India and Argentina. at
prices heretofore regarded as calami-
tous. So willingly have they parted
with their surplus that for three years
at least have they led America in the
fall of prices, and as they still afford
Europe an opportunity secure liberal
supplies, all our attempts to force an
advance have proved abOrtiye. The
experiences of these three years have
been unsatisfactory to producers and
spectators generally, and disastrous
to large number of wealthy operators,
who, with beliefs founded in the ira
ditions of the past, and with a abid-
ing faith in the power of money to
overcome all obstacles, perSistently
stuck to the long side of the market
| until their losses became unbearable.
| We see no evidences of the presence
of this class of operators in the market
at present, and believe that with their
recent experiences fresh in their minds,
they will be- loath to again enter the
speculative arena until prices prove at
traetiye, and natural conditions assume
q more favorable aspect. AT present
wi chief competitor is Russia, which
offers Wheat freely at relatively lower
prices than are current in our markets.
Argentina having shipped literally
earlier in the season will probably
supply but a moderate amount until
its new crop is ready for market, and
India seems to be pursuing a waiting
policy, shipping freely when markets
are up n holding when they are
down. That country probably still has
liberal reserves boarded in the ground,
for with increased production exports
| have fallen off. In 1892 their crop was
estimated at BOG, 400, 900 bus: in 1898.
240, 000, 900 bus. and in 1894 $50, OOO, 600
bus. Their exports fer the correspond
| ing years We're: 1892, SIS, 573, 900 bus:
| 1893, Is, T12, 900 bus, and 1894, g, 200 ,OOC
bus. Another important factor de-
stined to influence consumption al
home and abroad is the abundant yield
of Potatoes in both America and Eu-
rope. For several years they have ruled
too high to be freely used by laboring
people, and the consumption of Wheat,
which has been relatively cheap, was
materially increased, but with cheap
Potatoes it is reasonable to assume that
the Wheat consumption will again be-
come normal. The next important do
nestle feature which will demand con-
S~ideration is the sowing of another
Winter Wheat crop. Thus far the con-
ditions are favorable, abundant rains
over large areas having left the ground
in excellent condition.
So far as foreign competition is con-
cerned it is only effective when prices
permit the paying of higher trans
l pm III oiLACl NAld SCo IlClutItl
to shipping Wheat from competitive
countries, but ceases to be anything
but a barrier to a substantial advance
when our prices are much below pres
ent quotations, for at such a time their
Wheat will bring little or nothing to
producers at any distance from their
seaboard markets.
The influences tending to depress
| Corn have been felt in Oats, some OF
them being more marked in affecting
the latter than the former. While the
trolley and bicycle affects the consump-
ton of Corn, they more seriously cur
tail the demandefor Oats. The retire
ment of horses on their account being
largely confined to cities and the larger
towns, where Oats are the fayorite feed.
The movement of this cereal has been
retarded by rains, those occurring al
harvest time forcing the Grain into
stack, where it must remain until it has
gone through ssthe sweat" and the
more recent downpours keeping il
there. We look for a very free move.
ment when the Grain is ready for mar.
ket, unless checked by low prices.