The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1897-10-03
Why COTTON DON'T ADVANCE.
(py Col. Alfred d. shopperson)

In view OF the fact that the supply OF
cotton In the markets and mills OF N,
world has for several months been smaller
than for several years. many persons have
been surprised that the great staple has
not kept company with the sharp advance
which has occurred In wheat, corn, pro-
visions, etc, or responded TO the better
feeling and moderate advance In this coun-
try in cotton goosis Not only has cotton
failed to advance, but since the first week
IN September 1t has actually dcoilnei in
New York IN cents pound.
The situation admits OF ready cxplana-
ton. From July to September /. mid
ding cotton has been selling at about
cents in New York. rarely falling more
than is Of a cent below this price. and
going several times Ia TO 5-l6 cents above
1t. In the meantime cotton goods were
generally extremely dull and the prices
about as low as ever recorded. Print cloths
sold for weeks at I-l6 cents per yard,
with cotton at cents per pound. and they
sold at the same price and not any lower
in March, 1895, when middling cotton sold
In New York for 9-iG cents per pound,
being the lowest price for nearly fifty
years. Between July l and September j,
and for some time previous, the price OF
cotton was considerably aboG the parity
Of yarns and goods Those mills when
were under contract for goods or yarns
and unproyided with the cotton from which
TO manufacture thom were compelled Ia
buy cotton at the latively high prices.
but they did not buy beyond the actual re-
quiremonts. Many OF our mills ran on
short time, and some OF them actually
suspended operations because they could
not DO kept running at profit. The cot
ton crop OF 1S95-9G was a small one, being
only about 100000 bales, and the crop Of
1S96-97 was only a moderate one. and hence
without large consumption anywhere, the
stocks OF cotton in the Aarkets and mills
had become by July / comparatively email.
and II was evident that the supplies would
grow smaller each week until cur new
crop commenced TO be marketed In the
meantime. the indications pointed to a
considerable larger cotton crop than the
previous season, and some extravagansly
large estimates OF It's size were quite ex-
tensively published Weather conditions
in Texas during August and in other sec-
lions in September have caused cotton 10
mature and open rapidly, and hence the
receipts have been vody liberal and on
scale which has convinced many persons
that the crop will be a very large enc. AS
matter of fact. the September receipts
can not be safely taken as a criterion by
which to estimate tho extent OF crop
az the September receipts OF some OF the
largest crops have been very modorate
Large receipts in September indicate carly
maturity Of crop and only this. The favor
able crrp accounts previous to September
l and the liberal receipts since then have
caused American and European spinners
to buy as sparingly as possible in the
hope OF lower prices VIXEN stocks increased
The course of the market has justified
their expectations. IN fact this was the
only outcome Of the situation unless some
serious disaster TO the crop should occur
previous TO September 10. and none has
happened. Cotton was too high for goods,
and as goods could not be forced up 10 the
parity Of cotton. the price Of the raw ma
teriai had to decline. The market for
spot cotton here during the week end
ing September 3 was purely ARTIFICIAL. ON
August 30 the price was advanced 3'16 Of
a cent, while the sales OF the day were
only 20 bales The next day there was a
decline OF Ia cent on Gales OF 81 bales,
and by September 8 the price had declined
3-S cents additional. making decline
from Tuesday to Friday OF 5-s cents
per pound. Since then prices
have steadily declined. losing 7-s cents
more up to this date (September 23), when
miGdling cotton closed at G "a cents.
against IA cents on August 30.
While II Is true that the visible and In
visible supply OF cotton was less at the
beginning OF the new season. on the LIST
instant. than for the past seven years. II is
to be noted that spinners in Europe are
not mere prosperous than they have been
in this country Latest adviceB from Man
chester are that reduction In wages OF
mill operatives, or resort to short hours"
are being seriously considered in view OF
the dullness aud unprofitableness OF busi-
ness. Our mills are fairly well at work
now, but there have been NO recent sd-
vanceg in goods and prices are barely
maintained. Print cloths are weaker ana
stocks accommodating. There seems no dis
poSition at the South to hold cotton for
higher prices, but on the contrary the
weakness OF the market here and In Eu-
rope Is In no small measure due TO free
offerings OF cotton by Southern dealers at
constantly lower prices.
Probably the prevalence o. yellow ievfr
At New Orleans and Mobile. and the Dos-
sible contingency Of the practical closing
Of these places az cotton markets In the
ncnr future. may have been one reason
FER the free onerinRp OF cotton BY South
ern dealers, TO which have referred.
Al this particular time there seems 70
exist an earnest desire on the part Of the
8cuth TO part With its cottcQ quickly. and
without resard e dec!inins prlces: eean,