The morning news. [volume] (Savannah, Ga.) 1887-1900, 1895-10-23
INMAN TALKS ABOUT COTTON.
HE THINKS BOTTOM HAS BEEN
TOUCHED IN THE SLUMP.

This week sure TO see the End of the
FIurry-GraduaIIyH Hardening Mar
IsetS 10 Follow anG Cotton 10 Land
Near Nine Cents-A Crop of Only
6..OO.OOO Bales Would Mean %
Cents for the Staple-He Expects to
see Free buying by spinners at
Present Prices.
New York, Oct. 22.-John H. Inman, who
Is credited with having made a quar-
fer of a million dollars out of yesterday $
sensational break in cotton, said in an in
terview to-day: "The congestion of cot
ton. which has taken place for the last
several weeks and which eliminated last
Wednesday. was the result of wild speeu-
lation of Americans to carry the price 10
10 cents.
prices were carried so high last week
that it was perfectly apparent to any SEN
sible man who is accustomed TO deal in
cotton that if he wanted to operate at
all, there was nothing to do but shut his
eyes and sell. Regardless of what the
crop is likely to be, cotton was carried en-
tirey too high, at least for the time be-
ing Reactions came more quickly ana
sharper than any of US expected, but
with this enormous liquidation, the at
mosphere will gradually clear and the
movement of prices will now be regulated
by the volume of receipts and the prob
able outcome of the crop. If the crop Is
only 650O,OOO bales, as many honest ana
wel-informed men appear to believe cot
ton in my opinion will work back to the
neighborhood of 10 cents before the sea-
son is over.
ION the contrary, if we have 100000
bales as some other standard authorities
al fair valuation.
Il thought for some weeks that the
market estimate of the crop which we can
make is the mean of these figures i. e.
6,75OOO0 bales Holding this view ! be-
heve that after this Snake up is over we
Will have gradually hardening markets
and land near nine cents. If l was a
consumer of cotton, or spinner, l would
commence at this price and gradually ac-
cumuiate my stock of cotton for the sea-
son.
1T is difficult to gauge the amount
of weak long cotton yet to come on the
market, but my judgment is that what
ever there is, will come out at some time
this week. While L expect no sharp ral-
ly, do think that the lowest prices we
viii have for the next two months, eth
er took place yesterday, or Will take place
between now and the coming Saturday.
The consumption Of American cotton
throughout the world is enormous and at
spinner will stop, whereas, at the figures
of last week, rs 70 IA above to-day s
market, large numbers of spinners in
Europe would have become idle. This
break will accelerate the movement of
cotton to Europe, and If the crop becomes
distributed and once in the hands of con-
sumers, then speculation will take hold
of it and put 1t to figure which has
perhaps not been reached yet. 1t is one
october when the volume of receipts is
enormous, and another to take up bull
campaign in the spring of the year, when
the crop has been taken up and is out
of the way, stocks then being very
small"
The cotton market, in which for the
last two months considerable money
has been made and lost in the
space of a few hours, was in another up
roar at the opening of trading to-day.
The enormous slump in prices of yester-
day, unprecedented in the New York Cot
ton Exchange, was followed by a sharp
reaction, and prices began to 60 up at
the moment business began. November,
December and January were again the
favorite months to-day and options
We're offered and snapped up with great
Tapidity Lots of from 1000 to 5000 bales
were thrown on the market and prices
were shouted so rapidly and at such vary
ing figures that it was almost impossible
TO get satisfactory quotations. The larg-
est lot sold up to 1880 o'clock was 5000
bales at S45 Prices ranged from that fig
ure to 8.51, and for over an hour the deaf
tngs showed an advance over the closing
with every indication that the bulls, who
are again in control, will continue to boost
them.
The sudden advance is said to be due to
the fact that the liquidation of the enor-
nous transactions of the last three or four
days are about over and also to a rise
in the Liverpool market. Among the big
gest bulls on the exchange early to-day
were Inman, Swan & Co. They had been
on the bear side when the bears We're in
control and John H. 1nman is credited
with having turned a large amount or
money with excellent prospects now OF
adding more to it on the bull side.
After the market had fairly opened the
January option seemed to monopolize the
trading and inside of a half hour sold
from 8.35 to S5l and from that down to
$50 and back to $50 under substantiai
support. The influence of the LiVerpoOl
market which was up about 10 points,
as figured in the American market, was
felt for a few minutes. February cotton,
which closed yesterday at 8.58, opened at
the same figures, but under a fierce bear
attack fell p points in a few minutes.
The March option dropped from the op-
ening price of S.62 to $40, and May futures
broke to 500 from the opening price or
$50. After a general break, which sent
January down to $50, a point below the
lowest record made during the big de-
cline, prices stiffened a trife and fuctu-
ated around an average of 10 points over
the closing figures of yesterday. Later in
the day the market quieted down, and
at the close had advanced to S.59c for