The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1900-03-13
PRICE MCCORMICK & co.'s LETTER
Thinks Spinners Wants Supplied for
Next 60 or 80 Days

New York, March Especial Price, Nc
oormick x CO., today publishes the following
by extreme weaknQess. Although the early Cables
from Liverpool showed some tendency there 10 re-
sist the decline, the power of resistanae seemed
70 be Short-liyed. and before the opening ot the
New York market 4 declining tendency was
again evident. Normally the Ne~ YORK mar
ket ought 10 have opened 1T !, Substantial id
vance, but the oyerboIglt rnIrd.tcr a. tire
market was apparent cysn 1t o~p"ajtg, al Tie
aGvant. was ftfnl and ii shot r~qrltI1n rn,rr
after and until about the iunch hour. tho market
was nervous. and many who believed that the
downward reaction had about spent is force
again bought contracts in tie hope Of a rally.
~ TINS they were disappointed and .cpard The
close fresh weakness developed. iiHal figures be
ing the lDNest of the dtv and about ~ FONTS
under hose CT last evening. The cotton market
during the past fourteen days has traverscd an
extreme limit upward and downward Of 1915
POINTS. May contracts having sold at s.4s, Feb.
DIST. 9.6s. on March eth and 8.95 today. In other
words it has presented an opportunity OF profit
OF nearly > cents per pound TO the man who was
smart enough 70 buy al bottom and sell at the
top. Such commissions generally mark the end
OF any sustained bull market. They do not
encourage conservative trading and fail TO at
tract a substanti2l class of investors whose pur
cllascs can he relied upon as a permanent elc-
ment Of strength. They characterize generally
the operations oil a numerous and mercurial putt
lie, and this public having seen cotton al ~.
is now prone TO buy II upon each reaction. Dis
appointed then in the hope of an advance. they
pcated with the result OF adding constantly a
weakening element 10 the market. In Liverpool
the same situation obtains TO a great degree. Our
cable advices received at . O'Clock. New York
time. which IS the equivalent OF S p. IN. in
Liverpool, were numerous and inquiries as To
how the market here was closing showed great
anxiety on the part Of our Liverpool correspor-
dents, who in view Of weak closing here, fear
a very decided decline in Liverpool tomorrow.
Ii this should be realized there will be a fresh
supply OF liquidation in New York, probably
lower prices in our opinion. The whole truth
is that we are in process OF h1uidating probably
the most stupcndous cotton speculation that
has been known within the past decade. 4
study Of speculative prccedcnts leads us TO feel
that this process viii not be completed until
cotton has declined below its normal value az
determined by the relation OF supply and de-
mand. At present those who are buying and
selling cotton are doing so almost entirely with
reference to market tendencies and ignoring the
underlying facts Of the situation. While n
considerable long interest was iquidated on III.
advance, it is our opinion that a larger and d
weaker one has been created on the decline, and
until the article has touched a price that affords
the conservative and real investors an attractive
opportunity to buy and hold persstently with a
reasonable certainty OF profit, the limit Of the
decline Will not have been measured. This price
has not yet been reached. Meantime the urgent
wants OF spinners who aside from the bona hde
investors are the only persons vino buy cotton
to keep have been supplied al least for the
next sixty or ninety days.
PRICE, MCCORMICK & co.