The times. [volume] (Richmond, Va.) 1890-1903, 1898-05-29

from points OF accumulation, but not
visible, rather than first hand market
ings. that have swollen receipts at visi-
Die centers to u large proportions re-
Gently, so that they too. like the prices
are IN a measure artificial. NO one
imagines they will keep up for any
length OF time. but they have ALREADY
certainly changed the situation around:
IL we were six months AWAY. instead OF
less than six weeks. from a new harvest
the movement would not possess the nd
terial Significance It does now.
In order TO sustain the May price the
sustainers are compelled TO buy about aa
the cash wheat coming in. be II more or
less. Last week there came here a total
OF l,Sl9,0C0 bushels. the great bulk OF IL
either contract or available as such
through cleaning. With foreign mar
kets under US In first price, 10 say no.
hitting Of cost I'm getting II there, not far
from ~ cents per bushel. with the FOR
eign demand. for the time being at any
rate. small. as 10 evidenced by the small
daily sales and The weaknsss n fD-ne
in ocean f~reights, the question naturally
comes up. How is the buyer Of the high
priced wheat 90 get out without q round
loss2 Shipping It abroad on consignment
so as 10 reduce home supplies only swells
tho latter on the other side, plainly a
bearish argument. because the foreigners
understand the situation fully as well
as we do. and will naturally be disposed
TO take full advantage OF the circum
stances. Either foreign markets must
advance very Sharply. and that very
soon. or the holder OF high-priced wheat
is TO suffer. OF course, II there are sum-
cient shorts outstanding for May profit
on the one might co~unterbalance or ex-
coed the loss on The other. This appears
to be the only solution for tho high
priced wheat holder. Knowing nothing
Of the extent of this May shortage II Is
impossible 20 utilize 1t as n factor In
this calculation.
A recognized authority abroad recently
gave out that the wants of Europe until
a new harvest exceeded the ostensibie
seeable supplies by 100000 bushels. We
have no right 10 dispute this assertion.
As a rule Europe begins harvesting
about June. largely the minor wheat pro-
ducers. In July several countries har-
vest, ~inclpdlng Roumania, Bulgaria.
Austro-Hungary, southern Russia, Ger
many Switzerland. France and south OF
England. There are at present over
A,OOO.0 900 bushels a1oa on the ocean des-
tined for Europe. a year ago Argentina
India and Australia were contributing
nothing. This year the first two are
aAAANIAAAh QhANk AANtAgf nm AAA NEA N-
tinue 90 90 so for some time 70 come.
This year Europe has six depots OF sup
ply. last year only three at this time.
This. added to the 100000 bushels and
over now afoat on the oceans, and new
harvests 30 near. suggests that so far as
consumption is concerned, prices arc
already toppy. above a fairly legitimate
level. n you please. The consumer
abroad evidently appreciates this, n is
.TFfruNaD q. Fmffawv an uIuHuman mrhfTh hA
knows Is entirely due 70 manipulation.
or, II II sounds less harsh. 10 speculation.
To pay these high prices up to a new
crop looks very dangerous. In the end IL
seems as though the buyer might hold
an expensive load.
There Is no apology required for assert
ing that Che market here was held NJ
every day last week. The general news
and statistics received were undeniably
bearish. with tho exception OF the most
excellent export clearances and as these
embraced more OF less consigned wheat
they were not as bullish as suggested on
their face. The apparent weakness in
foreign markets. small new usine on
export account. decline In ocean freights
enormous receipts and good crop pros
poets coupled with the very close ap-
preach Of a new harvest were all bearish
factors. Yet the price on Saturday closed
higher than a week ago. II may close
a good deaf higher on next Saturday
than last but If so ii will be for the same
reasons creating the advance last week
manipulation. There is a vast difference
in being a bull with wheat I'm the 90s
or under and wheat around $50. The
former IS not n very low price, the latter
is certainly n very high one, wen with
stocks as small IN a comparative sense,
as they really are. and It is unreason-
able 20 assume or contemplate THAT they
can be sustained except by aggressive
manipulation. In the end there must be
a serious drop in prices-intrinsic worth
IS certain 20 prevail. We shall all very
likely become accustomed 10 buying and
selling wheat around the dollar mark
during the crop year OF 1888. But this
is n long way from Sl60. II IS realized,
also. that We are stu in the crop year
Of 1878.