The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1900-05-27
BREAK OF WEDNESDAY AND THURSDAY.
Enormous Amount Of Cotton Was Thrown
on the Market.
COLLISION Between BULLS AND BEARS
How the Plan worlscd--Price, Nc
Cormiclx & Co. FaiIure--J. J. Cbev's
views--A. vfoIett's IDEAS.
Special TO Tho Post ,

feature OF tho New York cotton exchange has
ended, or at least been interrupted and the
manner of its termination has not been such
as to cause surprise to those who have fol-
lowed recent developments in speculation in
tho commodity.
1t has been pointed out in The Post that
any lowering OF values would awaken the
far-scattered longs who, having profits for
the most part would become anxious when
they saw their book balances diminishing and
rush to liquidate.
Just this thing has happened The market
has broken and the extent OF the catastrophe
Ia to be measured In tens Of points and
hundreds OF stops" On Wednesday in par
ticular after pronounced falling off in Llv-
erpool and bad crop news from the South
the support SO long given to prices and al
ready strained relaxed and at every points
decline larger and larger number OF llqui-
dating orders were uncovered that brought
about condition that was almost panic.
On Thursday came tho Price, Mccormick &
Co. failure and moro selling From every
fornar seemed to appear tho holders of 100
DR. 200 bale contracts. eager to relinauish at
sny figure and along with them came the
seller OF shorts and tho smashing was com
plete. AS result. however the market be-
affairs shall hereafter have to be reokoned
upon 80 far as scalping operations are con-
cerned. for even now the encouragement
given to short selling is attracting those
who from being an element OF danger to an
advancing market become doubly so to one
that is declining. Al any rate all this is
likely to give ono sort OF market that has
been heartily wished for, especially by the
broker and that Is a trading one
The violent declines that have occurred II
can be stated. were cpused rather by the
existence of the uucontrollnble public sell.
ing and do not originate with or even receive
assistance from the ones who profit most by
them.
Collision, however, certainly is apparent
and this much may be said on authority
which is not easily disputed Pressure had
been brought to bear upon the bull party az
pcrsonihed by its former leader Mr. Theo-
dore Price, by the Mcl1addens and Il course
OF procedure was laid down and followed
With as much exactness as an unweldly pun
lie interest allowed. The plan was simply
that LIQUIDATION should be carried on by the
bulls with as little disturbance to quota
lions an possible and with an absence as
far as possible of bear operations until such
time safety TO the present immense hold
ers of long cotton shall have arrived Such
q gradual decline would admit OF diminish
Ing II not entirely caneellns at fair figures
tho contracts that were outstanding IN such
quantities thst any determined and strongly
backed raid Oh the market would make anu
for that matter has made the position OF
their holders extremely hazardous
With such manipulation in view what is
gong on at present IN the way Of deoliuv
becomes patent and the part which occa-
sonal rapid recessons is playins must DO
laid TO ones who count nrolus IN two or at
most three figures, MhAt iB chlcny To be
looked for from now on that Inquire where
one parry Is satisfied and another being To
work, where the lonEa. are sold out on tao
one hand and The bears have someth ug bee
Ter than a heartrending loss staring them
IN tho face on the other.
ne failure Of Price, Mccormick & Co.
was; OF course a sad blow TO the bulls. Tho
condition OF me affairs of the firm has not
yet been made known, but tho concern 5 IN
forests have been so large aud so varied as
TO make the failure anoct nearly every part
OF the civilized world. The general eneoL Of
the firms downfall has already been Gov
cred very fully In The Post
Keep out of the summer months" said
Mr. J. j. Chew to The Post correspondent
land as TO the later months / would rather
Dc short OF them. With good crop news de-
ciines viii come and such news is to be pN-
pocted. Most of all, beware of buillsh re-
ports that do not altogether correctly inter-
pref the situation
Some interesting markets may be expected
from now on, not forgetting the moments OF
sqneeL-ng, especially IN August, which Is the
most likely month Tor such n thing TO occur
IN, ana the various other by-piays to the
general movement. And IN the end whom tho
manipulation that Is now going on ana which
Us more or less desregarding statistical faces
10 r oyer, where are pr ees to. be found
Ihs question was asked Mr. Atwood Vlo-
aett BY The Post correspondent and his an
sweIs were interesting and logical
what may be the ultimate fate OF Au-
gust he said, "as TO squeeze or no
squeeze. one thing quite apparent Is thnt
the sellers of that month have been ia
SUN superabundaneo OF late rs TO have
largely offset purchases OF a. either for long
or short account. This naturally has in-
creased me courage OF those who have been
sslhns q wanting TO sell months after Au-
gust, ana the South has taken large part
IN this, 1t Is rather noticeable however
4nst quick turns are taken on the short
SIDE a feeling. Of eautiousness, due no
doubt TO the fear that something might
happen 10 the crop over n, gAt 20 put n new
phase on the situation August may Vet "a
70 loc, but the question is whether II may
net 80 iltile lower than present prices in
the meantime -
May contracts are owned by IL nrm here
whieh Is taking cotton as rendered, They
are long. more May than It Is likely any one
Will tender, separately or in Inc asgregatn
and the belated short. In the current month
meg my nave an interesting time o. Il AZ least
new. The question now Is. how much fur-
Their VIII this decline likely be carredg NV
olHh.ph - tuNie Will 10 no ucCllno at all in
keeping with the rise from the low price
Of last year. In fact, 1 beheye 50 cotton
will never be realized again IN this coun-
try In other words We do not anticipate
cotton crops OF any size In the united States
sufficient 70 bring cotton down again 10 such
level, Further, i Is not believed that
there e labor enough in the South today,
considering how much OF Il has been al.
yefted TO other pursuits 10 gather a crop OF
& 100000 bales, even though such a crop
should be IN the lelds'
Evidently faith In higher prices than have
yet been recorded Is not easily 10 be shaken
and N fact there e no good reason Why II
should be, but before they are reached SOW.
eral chapters In the history OF cotton spec.
ulation arc 20 be made and they will prob
ably Do written on the credit side OF the ac-
count OF ths short operator who does not
oversiay his market. Stuart Acheson-
Especial TO The Post.)
New York. May 2s--Ths original partners
IN Price, Mccormick q Co wcrs Mt Price.
Mr. Mccormick and Mr.. Stuart wortIey. On
January I, 1871. George crocksr was adml,-
"a - special partner and he put In