The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1898-09-25
MILlERS PAYING A
- PREMIUM ON WHEAT
HOLDERS OF GRAIN ARE MUCH
MORE JUBILANT.
Indications Looking to Higher
Prices-Barley Assumes
Fictitious Value.

Holders of grain were made more jubi
liant during the past week. Wheat and
barley in the local market show a large
gain as compared with prices at the clos
ing OF the previous week. The advance
came about in natural way, supply and
demand ruling against speculative pres
sure to depreciate prices. The extreme
crop of wheat harvested continues so
small that millers and exporters find it
necessary to pay from 3 to per cent
premium for spot stuff. Millers wants
seem only started. Farmers will not sell
at present prices. In many sections
throughout the East farmers clubs are
being organized, the purpose of which is
for the strong to help the weak. Those
who are compelled TO sell their wheat
are loaned enough money to carry them
over until more favorable opportunity
presents itself.
The most encouraging feature to the
market has been England's upward ten
dency. Russia's condition does not i'm
prove. This item OF news seems to be
shaping sentiment over to higher prices.
The average speculator is just beginning
to awaken to the fact that wheat prices
are low.
There appear as yet no reliable grounds
upon which to base this years crop at
over 600 900 bushels,~ Notwithstanding
that crop experts early estimated 100000
600 bushels. Threshing returns do not
carry out such extravagant ideas. Allow
ing the crop harvested to have been
$50 900 900 bushels, its distribution would
be:
Home use and feed. $40 900, 900
Visible and invisible crop July l. 1889 1000 600
Total CSC. 900, 600
The exports to July l, 1899, will reach
200 900 bushels. If the crop should fall
short of the amount stated. which is
more likely than not, then the trade will
realize how completely the country was
of hoo ha @f
present crop year. Another matter must
soon be compiled anew. The consumption
of wheat at home has been placed at
370, 900 600 bushels for the past six years.
1t is fair to suppose the population has
increased during that period. Why not
home requirements? The time is not far
equal production, or very closely. The
worlds production has not increased as
rapidly as its population. The worlds
available supply is 900 bushels less
than a year ago, and 60,O00,OO0 bushels
less than two years ago. The supplies in
all positions at the present time in and
els The smallest quantity ever reported
as Russias shipments are 55 per cent less
than last year. Argentina may not be
competitor for eighteen months.
Judging existing conditions throughout
the wheat eating and growing world there
seems no logical reason to anticipate ex-
Locally wheat prices are above those of
other market centers. Temporarily prices
may be high enough, but that eventually
they will sell higher seems reasonably
sure.
The Washington and Oregon crops are
proving much less than generally expect
ed. The increased demand for flour to
China, Japan and the Philippines will
absorb all the surplus of this coast, with
what has already been sold to Europe.
Pacific Coast markets are rapidly grow
ing independent of those of Europe and
the East. AS time goes on the fact will
be more apparent
Barley twisted the shorts during the
latter part of the week. December sold
at 81 25A against 81 1872, the low point.
The advance in barley is more in the
nature of a squeeze. No doubt the bulls
will try to work the price up somewhat
higher so as to give the shorts nervous
there will be plenty of barley for sale.
1t is not worth present prices. Artificial
values are not those of profit.
r e MIJICAHY,