The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1896-02-23
1.-THE OUTLOOK FOR COTTON.
The Short interest Has Been Largely
Over-Sold

one q ms most famous speeches apos-
trophized the cotton plant as follows:
What royal plant it IS! The world
waits in attendance ON its growth. The
shower that falls whispering on it's
leaves IS heard around the earth. The
| sun mat shines on it is tempered nv
| the prayers Of all people. The frost
that chilis il and the dew that descepds
| from the stars is noted, and the tres
/ pass Of little worm on it's green leaf
IS more to England than the advance
| " the Russ.aB army on her Asian out
| posts. II is gold from the instant it
| puts forth It's tiny shoot. It's fibre is
| current IN every tank, and when I0os-
| ing ITS flecccs 10 the sun. ii floats a sun
ny banner that gloI'ifies the field Of the
| humble farmer; that man is uarshaIed
| under flag that Will compel the allie
| glance OF the world. and wiring q sub
nay from every nation on earth. Ii is
| the heritage that God gave to this peo-
pie forever for their own when He
arched our skies, established our noun
tains, grit us about with the ocean.
loosed the breezes, tempered the sun
shine, and measured the rain. Ours
and our children's forever As princely
talent as ever came from his band u
mortal stewardship"
IT begins TO look as if the attitude Of
the investing public toward the prod
uct of the cotton plant has undergone
change, and is coming to feel some OF
the enthusiasm Of Mr. Grady, SO beau
tifulIy expressed. On the 18th Of Feb
ruary March contracts sold in this mar
ket at 49, a decline in ten DAYS Of
nearly re. a pound. This decline was
the result, in the first place, Of an app
parent augmentation of the receipts
this year as compared with last year
The movement during the two weeks
last year corresponding with those just
ended this year was phenomnaliy
small for large crop. It's smaliHess
was due 70 heavy snow storms and eN-
tremely cold weather that prevailed
throughout the South during the same
period last year. The result was that
receipts tins year looked big by conn
parison, and disturbed the confidence
Of Wearied holders,
The development of this weakness
was assisted by the bears who had
talked so much about the probability
of big crop next year, that many OF
tlAS IA 1Ecilg oN0t4iNtA " DEltNFG tltetN -
crop Of 10000, 900 bales for the season
Of lo96-97 was not only planted but
grown, picked and marketed, although
no planting Of any consequence is
done anywhere before the first Of
March. The result has been an over
grown short interest, which, as soon
as the market gave evidence of any
stability, became nervous and in COW
90
points from the lowest prices touched.
he decline has attracted considerable
rtHycstment demand for cotton, and
ihe character of the market has es-
scntially changed within the past few
days The strongest houses of the
New York market have been large
buyers. Prices here are relatively
lower than in any other cotton market
OF Importance in the world. On Tues
day, as compared with Liverpool, Au-
gust contracts in New York were rela-
lively lower than they had been at any
time for nearly four years past. The
certifcated stock here available for de-
livery on contracts is only 10000 bales.
Most Of the remainder is high grade
or especially selected staple and Gulf
cotton, which was bought almost en-
| ttIFI4 with q NiGW ~ AliE JAOSIBN1blFG
needs of spinners during the summer,
and is not deliverable on contracts eN-
cepf ut loss OF $3.50 10 $500 q bale
TO the present holders Under such
conditions it is not surprising that a
sharp rally has been established. 1T
remains to be seen whether the adj
sattce viii proceed further. We are
Inclined to believe that for the
shah become a tangible rather than
visionary factor, the present condi-
ions Of supply and demand are likely
to assert themselves in higher prices;
to SIZE. would seem to about express
the proportion between this years
supply and this years demand, and
operations for decline would hardly
promise profitably until this mean
level has at least been exceeded.
The general business conditions
are to be considered in their
effect upon general trade, aud in turn
upon the cotton trade in particular.
"Consols" are selling in London at
109h, the highest price ever touched;
the overwhelming success of the Amer
lean trade; and money at the larger
financial centres is distinctly easier
al the more remote points merchants
are still complaining Of the difficulty
Of securing reasonable accommodation,
but this condition will soon be re-
lieyed. and with such relief we look
for increased activity in nearly all de-
partments Of legitimate trade Under
such conditions, with the light stocks
OF cotton, We are inclined to think
That spinners mast become buyers in
order to supply the deficiency arising
through the lightness of their takings
during the last few months.
LIVERPOOL.
i4IvBRP00L H. IA 3 $50
'r'tton--Spot dul3 ices 10 hu er fav
American middin0 AID.