The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1899-08-20

be formed by the foregoing table OF fu-
lures sales. Add TO this amount the annual
future sales of New Orleans and New York
the sales of every city andstown in Texas
and of every other city in the United
States, and the total Is beyond mental
comprehension; the amount of wealth wa
gered seems fabulous when We remember
that no transactions will be entertained
for less than 100 bales, and no margins
less than 81 per bale.
In the month of November, 1892 In New
York alone. 8,051, 100 bales OF futures were
sold and during that season more than
30, 100000 bales of futures were sold at
prices uniformly lower than spot cotton;
nor have the transactions OF subsequent
years been less deplorable proportionately
in any of the cities of the South.
On April 10, 1892 the senate of the
ering the committee on agriculture to in
quire into the cause OF the depression OF
the cotton market, and that committee took
the testimony of practical cotton dealers
in every portion OF the territory of the cot
ton trade. In the evidence adduced by that
committee ! have been impressed with the
sincerity and truth of the following sworn
testimony
James II. Allen of st. Louis testified in
response TO questions by Senator George
as follows ] have been In the cotton
business ever since the late war The fu-
tuTc business Is principally controlled by
parties that have no interest in spot COZ
ton. II Is nothing in the world but gam
bling on the price of cotton when they sell
cotton, for some monshs ahead, for less
tkan spot prices and carrying charges, OF
course it depresses spot cotton. j have
often known spot cotton unsaleable be-
cause futures for future months were so
mich lower than the price of spot cotton,
and it undoubtedly deprives US of any spot
demand. We were forced to hold our cot
ton and take much lower prices for the
same on account of this manipulation in
futures. This is called Selling down cot
ton"
James Il. Goodlett testified. ~ am 81
years old: reside in Memphis; | have been
here twenty seven years. The Arm OF
Goodlett g. Co. has been In business mere
since 1853. Forty years ago they moved
into the office now occupied by me. ] am
a cotton buyer think dealing in futures
has almost destroyed the legitimate buy
ing Of cotton; and / might also say that
the selling OF cotton, because 1t is con
tIolIed entirely by the New York "fu-
lures" board. There Is no longer any buy
ing OF cotton here, as there was when
first commenced business, on orders from
factories or from mills. They buy or sell
contracts all along through the year from
future dealers In New York. A great many
OF our buyers. legitimate buyers OF the
town, have been driven out Of business
entirely because OF the gambling feature
When first commenced business here they
bought from 10000 to $4,000 bales year.
Those orders all came direct from the
mills. don't suppose they buy for one OF
those mills; the freasurers OF those mills
go into the future markets and buy on fu-
ture contracts. A number of our buyers
have been bankrupted by the futures bust
mes; the whole country is almost poverty
stricken by this system OF futures.
Now can give you an illustration:
am not only merchant. but planter oil
a small scale; have farm sixteen miles
from here that six or eight years ago would
have brought $40 per acre: can not sell
1t today for $40 an acre. Why? Because
this country is drained of every dollar -
surplus money that comes in; II goes
straight to New York.
~ never played card in my life, nor
lost nor won cent. do not believe In
gambling in any form; but hundred open
gambling houses in sis town would not
do the community -hundredth part OF
the damage this futures dealing does. With
the futures transactions every dollar OF