The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1902-09-10
THE FOES OF COTTON
Efforts to UnduIy Depress the
Staples Value.
False Reports Circulated by Concerns Buying
Cotton for Export in 0.der 10 Get
II Cheaper.
(special to News and Observer. )

L.
New York, Sept. 9.-Since the publica-
ton of the monthly reports of the United
States government on the cotton crop,
the most vigorous subtle, and insidious
efforts have been made to nullify the
effect of that report, and unduly depress
the value of cotton. These efforts have
emanated for the most part from brokers'
and manipulators identified with con-
Germs whose business it is to purchase
cotton in the South for export, and it
has been plain that their efforts were
intended to depreciate the price of spot
cotton in the South by artificially de-
pressing futures in New York, they have
had the audacity to attempt to dis
credit no less an authority than the
united States Government. They have
circulated false reports that l was SELL
ing out the cotton which l have bought
and acting in bad faith towards the peo-
pie of the South by advising them to buy
while l was selling. They have endeavor-
ed to stampede the market by empha-
sizing the fact. that receipts are large
while it is well known that large re-
cejpts early in the season are invariably
indicative of a small and drought short
encd crop.
The course of the market today shows
that their efforts have failed, and l now
feel confident that a fresh advance is
impending, which will probably carry
prices plueh nearer to cents than they
have previously been.
The following propositions with re-
gard to the cotton situation l hold to be
self-evident.
The indicated crop, according to all
accepted authorities, is decidedly less
than last year.
The indicated consumption, according
TO all accepted authorities, is IL ,250,COO
bales.
The certificated stock of cotton in New
YORK available for delivery on contracts
is this evening only $4,000 bales.
Futures in New York at present prices
are no higher than the prices of middling
cotton in almost all the Southern mar
kets tributary to New York, while the
cost of bringing such cotton to New
York and delivering it on contracts is not
less than half a cent a pound
The short interest is enormous and
spinners are practically bare of stock
for their immediate requirements.
The consumption of Southern mills
chiefly located in the States of Virginia,
North Carolina South Carolina and
Georgia, for the current year will not be
less than two million bales. The pro-
duction of the States in which these mills
are located will be only about $500, 900
bales.
The difference of 100000 bales is much
less than was last year exported from
the port of Savannah alone. The reac-
tion of the New York market to the
Southern markets and the trade at large
is becoming more and more artificial
each year, and those who permit them
selves TO be short in the New York mar
kets are, in my opinion, making serious
mistake.
The Southern holder and producer will
do well to disregard the manipulated
fluctuations of an artificial market, and
governing himself by the commercial
law of supply and demand, is justified to
demanding and receiving at least cents
per pound for their crop of cotton.
THEODORE H. PRICE.