Virginian-pilot. (Norfolk, Va.) 1898-1911, 1900-01-06
OFFICE OF
PRICE, MCCORMICK & CO.
700 BROADWAY. NEW YORK.

accept present prices for its cotton, and
as we believe that this criticism Is I'M
just and uucalled for, we beg TO submit
herewith our weekly cotton circular
which states in full our position and our
reasons therefor:
'Tho cotton market during the past
week lris been altogether 4 sensational
one. AS result OF the very small crop
movement for the month of December,
and especially for tho last week OF De-
cembor, foreign consumers of the article
seemed at last to have come TO an appre-
cation of the situation. and at the OPEN
ing OF the Liverpool market on Tuesday,
January ID. middling upiands were quoted
at 9-1fd IN advance OF fully ~ pence,
CT 3 cents PER pound over tho value of
Gotten for the corresponding week last
year"
Feeling that the price was a fair one,
and that it was 4 good policy on the part
of merchants to sell their goods when
\thero was an active demand for them. we
advised our friends generally TO accept
present prices for their spot cotton, and
as Il large portion of the trade seemed to
accept this view as sound. q considerable
reaction in values has occurred although
present prices still show the very sub
s,anttal advance of nearly cents per
pound over those ruling last August,
when Mr.. Neil first promulgated his
large crop estimates.
Much criticism of what has been termed
our change in front" has reached us
We, therefore, feel justified in making
this weeks issue of our circullr some
what personal and. perhaps. Improperly
eSotstical. but otherwise we cannot fully
explain our attitude. For the PAST six
months we have spent large sums OF
money in the collection and dissem nation
OF information In regard TO the cotton
crop We have felt that Mr.. Ne.ll's csti-
mate was misleading and great in
Justice 10 tho South. We have done
everything in our power to put the actual
facts of the situation before the cotton
world.
In the opinion OF many the advance
which has occurred has been largely at
tiibutablc 10 tho recognition which our
work has procured for the facts of the
situation. On November ~, 1874. March
contracts sold iii New York at 7.Gl
AT the same time January
contracts sold in Liverpool at 400. On
Tuesday, the I'd OF January, March con-
tracts sold III New York at 49, while
January February contracts in Liverpool
sold at %. 1t Will thus be seen that,
DESPITE the fact that during the month
of December the crop movement had been
smaller than even the most sanguinc
bulls anticipated. the New York market
was u points lower, while the Liverpool
market was at the top prices OF the sea
son. The action of tho market, as viewed
in the light of this record, convinced us
that its position. speculaGvely, was lack
N ct ron. hat NI.. bat h.
technically known as an "over-bought"
market. In addition. we received about
this Tine the final reports of some five
gentlemen expert observers whom We had
employed during the month Of December
TO travel throughout the cotton States
These gentlemen We're assigned as fol-
lows To one was given the States of
South Carolina and Georgia. to another
Alabama and Mississ!ppi: TO II third
Texas south OF the Texas Pacific road; 10
a fourth Louisiana north OF q line drawn
from Alexandria to Shreveport and Texas
north of the Texas Pacific road; TO nth
Arkansas and the Indian Territory. Our
letter OF, instructions in connection with
this investigation was as follows:
"Deccmber &. ls99-Wo beg TO confirm
tho arrangements under which we have
employed you for a period OF not less than
two weeks. and as much longer as MAY.
in our opinion, be necessary for the pur-
poses IN view, at Il salary OF s. per
week, ana necessary travelling expenses,
to proceed TO the States of ---, and
there. as far as may be practicable. make
a canvass Of the amounted towns. with
IL view Of asccrtlining whether there has
l.een held back, either for speculative or
other reasons, any abnormal quantity OF
cotton, or whether tho crop has been
marketed with normal and average rap
idity. We desire this Investigation made
In tho most thorough manner. and shall
be obliged. if you will furnish us as far
as YOU can obtain them, with figures that
will he in thor essence an nccura IL com
par,son between the number of bales held
ut this time Ia year ard In previous
years ana the number of bales now held
We desire that you will also ascertain as
far as possible whether picking is COM
pleteiy finished. or whether there is any
top crop made or ma king. and also
whether the farmers have sold such cot
ton rs they have made or are holding on
the farms; and whether WHARF cotton is
held it is held by spectators, merchants.
cotton buyers or others at the urcounted
towns"
Inc Reports Whlch VIC nave recelVti
from the experts thus employed convince
us that the following are the facts of the
situation:
1'irst-The crop is practically all picked,
ana for tho most part sold by producers.
Secondhand it has. however, for tho
Fast month as sold, largely passed into
tho hands Of mddle-men. who have held
st with view TO higher prices, and are
still holding IL.
Third-That the stocks OF cotton at I'M
counted towns. except in certain portions
of Georgia and South Carolina ana in
Southern Texas. arc larger than we had
been led TO suppose, and that the stocks