Mexico weekly ledger., 1896-02-13
W. G. PRESS & CO.,
Grain and Provision Commission Merchants,
; ANA ! Sherman S..


In their speciaI market letter say:
10 the operator who demands action,
| our wheat market during the past week
has leen all that could be desired, for
t~l;etaations have been frequent, sharp
inf rapid; but to those who prefer
| either a steadily advancing or declining
one, with bat the usual range of fucbi-
ations. it has proved unsatisfactory
and disastrous. and rs usual when the
trade has been whipsawed by buying
on the jumps and selling OF the slumps
the cry OF cruel manipulation has been
%faise;te We see nothing, however. TO
warrant such claims and believe that
the unsettled state is due wholly to
natural and clearly defined causes. For
many weeks we have advised buying
on good breaks and selling out on
buigeS, believing that conditions favor
ed an advance, but that the pressure of
the heavy stocks which the bulls must
encounter on every quick upturn would
be sufficient to.cause many yer a
ltions. The market has been builed to
a point where the short interest. other
than that backed by actual wheat in
store. has been largely eliminated,
leaving no support on the bulges, but
such fresh long buying as the tenn
perary excitement induces. As soon
as the new orders are filled, there being
no frightened shorts, holders who at
tempt To realize find but q limited de-
lmantl and their anxiety to save some
of their accrued profits precipitates "a
break. As o o as their holdings are
disposed OF the offerings cease and the
market is again in shape TO respond to
| bull news. which thus far has been fire.
quent and pronounced. Under siieh
conditions traders who would avoid
losses must abstain from loading up on
the swells and do their buying on the
breaks. These rapid changes while
playing havoc with the eleventh hour
bulls fail 10 disturb those who secured
cheap wheat and are now protected by
substantial profits. As there are many
holders thus situated the market is GER
tain to react from all material breaks,
The bears who have heell driven in will
doubtless transfer their operations
from May to July when they again
enter the market, and unless the bulls
can force the July future to a premium
over May and keep it there sharp
breaks from all advances will follow,
for the weakening of Il deferred future
has more or less effect on the fayorite
option. The chief bull support is de-
rived from the adyices from the Pacific
Coast. where an active export demand is
reported. and from the European claims
of the probable demand for American
| wheat during the next three months.
There has been nothing new of impor-
lance in foreign crop advices and the
weather has been favorable for our
growing winter wheat. The satisfac-
tory termination of the bond call will
probably enable grain carr iers to secure
ample funds at reasonable rates and
will operate in the direction of easier
money for all commercial operations.
The greatest obstacles to a permanent
advance arethe heavy stocks, the cease
less stream from the farms of the North
west. which has not only made Mime
apolis and Duluth receipts larger, but
has increased stocks at interior elevat-
ors and the liberal offerings in Euro
pean markets of Russian and Argentine
wheat for April and May delivery.
While corr and oats 1luctuate
with wheat, they have moved within
narrow limits and are chiefly influenced
by conditions differing from those eff
fecting wheat. In the former the for
eign demand is everything: in the latter
it is but of minor Importance, domestic
conditions overshadowing everything
else. The chief bulwarks of strength
of both these cereals at present are the
unusually low prices. We believe that
before the May option expires specula-
tion will have run its course in Wheat
end s1.se oere~s,4d eeesA~iH absorb tho
attention of a multitude Of operators
and that either of them bought when
wheat has had a severe break will prove
good ~property.