The Banner-Democrat. [volume] (Lake Providence, East Carroll Parish, La.) 1892-current, 1895-10-26
The Excitement In The Cotton
Market.


speaking edltorially of the sudden
fall of cotton, says:
Yesterday witnessed considerable
excitement in local cotton circles,
and the furry which occurred In all
probability marked the elimination
of the great speculative movement
which has been in progress for some
time. The decline which occurred
was IN no sense justified by the sta
tlstical position of cotton, and can be
explained only in the blind eager
ness to realize earned profits and to
liquidate in expectation of decline
which everybody seemed to antici-
pate at the same time.
The leading cause of the excite
ment and rapid decline developed
yesterday was the plot concocted by
the bear operators IN New York to
stampede the Southern holders of
cotton. They realized that unless
they succeeded in creating diver
sion they would have to pay large
profits to the Southern holders of
cotton, and their friends, the New
England and Manchester splnners,
would be forcrd to purchase the raw
material for their mills at materi-
ally higher figure than they have
paid for several years past. They
accordingly spread broadcast rumors
and reports to the effect that the
leading bull operators in New Or
leans were liquidating, the purpose
beng to create the impression in
the minds of Southern holders of
cotton that the advance had culmi-
mated, and that, consequently, the
time had arrived to unload their
holdings. The plot succeeded, and
the wild scramble to sell which was
witnessed yesterday followed.
The cotton trade throughout the
South will now have days respite,
during which the statistical position
of cotton and the true inwardness OF
the recent furry can be carefully
considered. The Plcayune believes
that a calm survey of the situation
will show that the decline which has
already taken place has more than
discounted any top-heaviness which
may have existed in the market
Everybody now realizes that the
J crop " i'll be short one, so eminen'
an authority as MIR. NELL, who hal
been more uniformly successful as
crop estimator than any other man
holding that it Will not possibly ex
coed $500, 900 bales, and may b.
, much less. No facts have developed
which can be considered as having
discredited Mr.. Neilps estimate
hence. with prices nearly a cen
lower than the highestspoint reached
! it would seem that the time had al
t rived for merchants and planters t.
hold on to their cotton and wait TO
a reaction.
At any rate, attempts to force cot
: ton on the market during the pre-
: vailing nervousness would only pre-
clpitate further weakness; whereas
prompt stoppage of offerings woul'
permit the market to recover itsel
i and in all probability bring about
: favorable reaction. The Souther
t producers are more independent thi
year than usual, and are able t
market their crops to suit theiI ow
convenience, as we'll as their ow
ideas as to value. Such being th
case, it would be wise policy for a
J concerned in harding actual cotto
v to Withhold offerings for the presenl
IS A falling off IN the pressure to Sc
) would promptly bring about rea
: ton in prices. What is now of tt
, most urgent importance is to chez
= the nervous excitement aud weal
, ness existing in the market, an
n the surest way of accomplishing tn
ID is by Withholding offerings of actu
II cotton until satisfactory prices q
paid. In short crop year like Il
!. present the producers must dicta
= the price, and not the buyers, wi
" will have to have the cotton n ar
d event, and, consequently, should
made to pay full value for it.