Daily capital journal. (Salem, Or.) 1896-1899, 1898-06-21
Situation Of Wool,
Extra Supply and War Make
the Market Dull.
Growers Are Able to Hola Their Product
and Are Independent Enough to Not
Sell.

season A number of wool dealers,
both buyers and growers, we're inter
viewed and the results are here given:
At present buyers and sellers are
several cents apart, owing to the mis-
understanding existing as To the real
market value Of wool by the sellers.
Ever since the changes 10 tariff, wool
grower. have been expecting to see
further advances in prices with each
new season,h hut natural circumstances
will prevent any such imitation If
values. While the people haye al
ready been considerably benefited by
the tariff, prices today must be reck-
oned from supply aud demand basis.
There seems to be general misunder.
standing by the growers as to the
effect OF the duty on wool, but the
benefit derived cannot exceed more
than from 2i to cents pound on
woods raised in this section; and this
advance can be realized at this lime,
taking into consideration the prices
that prevailed before the tariff went
into effect,
The stock of both domestic and
foreign wool is large in the United
States markets, and is being
Increased with the clip now coming In.
The mills, with few exceptions, are
not running full, owing TO the lack in
trade which is accounted for by the
full supply of manufactured stock in
the hands of the dealers; and also, to
the cancellation of orders on which
mills we're working on anticipation OF
an active demand from throughout
the country which has falie5 to make
its appearance in the markets. How
ever buyers are ready to purchase to
some extent; but this is difficult to do,
owing to the rather speculative ideas
of the growers on the value Of wool.
Unlesss an increased demand for
J wooden goods appears which will put
the mills in full running order, not
much of change may be expected In
prices, and even the large stock on
hand will regulate values. So 1t is a
matter of speculation on the part Of
: wool growers whether or not they
realize the prices they are asking.
THE SELLERS VIEW.
The wool growers in turn have thl:
, to say: The prevailing low prices fol
t wool are due to d general lack of con-
o fidence in business throughout the
country, owing to the war; to The
channels for the flow of money that Il
d was at first supposed the war wcult
e cause to be opened, and to a supply OF
hand that was unlosded from foreign
y countries during the time betweeI
. McKinley's election and the passag'
e of the Dingley act,
They say that as soon as the wa
closes business will revive on tirme
basis and money will be let out oil
I smaller margins than now, also tha
J. the anticipated opportunity for IN
d yesting money in bonds being gone
y money will of necessity seek othe
channels, and that the mills will sooI
e work off the oyer supply,
IS The growers also claim that the
men who held their wool until fall II
l. preceding years haYe realized NOR
e than those who sold early in tn
= season. Nearly every producer is con
G. fident that the price will increase b
x September or October. They ais
r. argue that the demand for woole
T. goods will be increased, because NOR
"a men have been given employmen
al by the rush TO the Klondlke and ca
for soldiers TO the pattle fields.
is THE REAL SITUATION.
!. The real situation appears TO I
this There is dullness In trad
owing to an extra supply of wool an
the lack Of confidence due TO the wa
ng There is nothing certain about an
he great rise in prices, because an II
% % creased demand is uncertain. On u
nd other hand, the supply will not
great enough to lower prices,
N Buyers are willing TO purchase
lis the prices they Offer aud take u
chance for a raise in prices.
= Growers are almost universal
a financially able to hold their wool al
4 can afford to take the same chane