The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1900-02-20


closed yesterday OF account of Lncoln's
birthday, but the transactions in futures
today were very larce-probably 100000
bales-and the closing prices We're thirty
seven TO thirty-eight- ht-hundredths of a
cent higher than Saturday doth inst.)
for deliveries in the present crop. and
seventeen 10 twenty three e-hurdredthS for
deliveries III the next crop. Spot cotton
advanced 1hrec-siNteenthS Of cent to
eight and three-qUarters cents for mid
ding uplands. In Liverpool spot cotton
advanced hree-thirty seconds of q pen
ny on Saturday and one-siXteenth of 4
penny today, closing at five and one
eighth pence for middlng. while futures
here gained about Neutrality-suspicious. Of
penny since Saturday. Southern
markets have kept pace fully with the
advance here. There was liberal buying
here for futures today for foreign ac
count for Southern account and appar-
emily from all quarters. Private cables
from Liverpool varously attributed the
sharp advance there to enormous buy
ing for home and continental account,
due to legitimate causes, and to large
buying for Alexandria. Egypt account
My letter Of the 9th inst. stated that
the recent advance and activity in cotton
were chiefly due to large purchases OF
spot cotton and futures for European ac-
count One of the reasons given for the
liberal buying was the general reduc-
ton in European estimates of the
American crop. | should have mention
ed also the general realization by our
/ European friends OF the fact that III
their expectation Of a large and lower
prices they had failed 10 secure their
share Of our crop. The diminishing
I I 1 NO olAS
less III Liverpool and $4,000 bales less
in continental ports than a year ago.
emphasized the necessity for buying
The cxfsorts of .Ameriacn cotton since
Septcnber are l 100000 bales less
to Great Britain than for corresponding
time last season, and 6CnD00 bales less
to the Continent. The asize OF the
American and India crops are still mat
ters Of conjecture. though admitted to
be very much less than last season, but
the small and diminishing stocks II Eu-
rorean markets are concrete and slgnl-
ticant facts compelling prompt and llb-
eral buying by the spinncrs and dealers
who have need for cotton now or IN the
early future.
While English and continental spin
ners and operators seem to have realized
thar the supply Of cotton for the sea
son will be Car less than their earlier
expectations, they have not vet fully
yrasped the extent of the increased
CONSUMPTION Of cotton due to the great
wave Of prosperity row pervading nearly
every civilized country. American mills
are enjoying flood tide cf activity and
prosperity, and European mills are doing
Il larger and more prosperous business
than Of recent years Goods and yarns
have advanced correspondingy with cot
ton: indeed. they advanced sharply long
before cotton.
The published reports of the Lanca-
shire In@landl cotton mills for the
year 1899 show larger average profits
than for amy year since 1888. Their
annual dividends ranged from to 1212
per cent fayeraging about 10 per cent?,
after carrying TO the reserve fund rather
| more than half as much as the de-
clared dividends The mills convert
cotton into yarns and goods purely for
the profit there is III the process. and an
| advance in cotton will not affect the
volume Of their business at all 50 long
as an equivalent advance can readily
be obtained for the manufactured pro
duct \ pound and oEe-fourth Of raw
cotton will make five yards Of goods, 50
! that an advance Of q cent 4 pound on
cotton would cause an increase Of only
3nOUt nt-1ollltN OF Il cent Il Ndft iia
the cost Of many classes Of goods.
Surely small an advance would not
check the sales Of goods even if trade
was not SO generally active and healthy
as now.
The recent circular Of Mr.. Thomas Ei-
i>on. Of Liverpool has just been re-
ceivcd He takes my estimate Of the
crop ,9.50O.GOO bales as the basis for
his estimates Of supply and consumption
for the season. and assumes that while
there Will be no increase Ill c0nsump-
ton by the mills of any country, the
European spinnerS viii consume 300,
600 bales less than last season. He
thinks that if more American cotton
should 90 10 Japan loss will 90 to
American mills, and says the reduction
Of :500.0tO bales In European consump- |
ti0u is ''aS certain to occur tthough it IS !
difficult To say when or whercl as the /
annual visit Of the tax collector unless
the American crop reaches 10 fWO.0U0
bales. In referring to my statement
in December that. allowing only for the ,
increase III American consumption. H.
100000 bales Of American cotton would
be wanted for the season. Mr.. Ellison
says: Where the cotton is to come
from goodness only knows. Good trade
can do wonders. hut it cannot enable
Spinner> TO evolve yarn out Of their
inner consciousness | fully agree
with Mr.. Ellison that European srinners
cannot SPIN cotton yarn ont Of material
50 ShadoNy as their ''inncr conscious
ness. nor is American ingenuity equal
to the task, though wooden nutmegs
and sawdust hams are made in Con
necticut. Mr.. Ellison estimates that at
the end Of tho season. September 80
there viii be $4,000 bales Of cotton ii
European ports, and that European
mills will have Il surplus stock of 236.