Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-09-03
Quick Declines in Metropoli-
tan Securities and Railway.
CHANGERS ARE WEAK
ST. PAUL, ATcHIsoN, N. P. AND
ROCK ISLAND OFF.
Amalgamated Copper and Consolidated
Gas Score Losses-List Hardens
Toward the Close.

NEW YORK, September s.-The weakness
caused In the London market by the unex-
pected advance Of 1 per cent in the Bank
of England discount rate was reflected very
slightly in the opening market here. Deal
ings were on n very small scale and while
declines predominated there were a few
scattering gains. st. Paul fell y. and run
ming sales of 600 shares of Atchison were
at 65& and 65N, compared with 6511 last
night.
Considerable amounts Of Reading were
offered for sale during the first hour which
forced the price below "a. Other stocks also
weakened In sympathy. Missouri Pacific,
st. Paul and Rock Island lost a point each.
and other standard stocks substantial frac-
tons. Amalgamated yielded point Con-
soIidated Gas IA and Metropolitan Street
Railway 2ss. but the speciaIties otherwise
were neglected.
Metropolitan securities broke abruptly 81.
and then rallied Az. and Metropolitan
Street railway rallied 2. Pullman lost two.
intensely dull. Bonds were dull and irres-
ular at noon.
Efforts to sell Colorado Fuel found a very
limited market and the stock was offered
down with variations of l and points be-
tween sales until it reached A, drop of
I. The western railroad stocks fell off
slightly again under the leadership of
Union Pacific. which declined TO rs. North
western gave way 2, North American Y
and PEOPLES Gas 1.
Crash in Cotton Corner Predicted.
Special Dispatch to The Evening Star
NEW YORK. September 3.-According to
statements made by persons well posted
on the cotton industry, a terrific crash
IS coming in the series OF corners now
hcirN &ol
Orleans bull" 1t is claimed that the
ruling quotations for cotton cannot be
maintained for more than a few weeks
longer. on account of the fact that the
new crop-variously estimated at from 10.-
0OO.O0O to 13G0t.O00 bales-will come on the
market within the next month or two.
Brown holds that the world is short of
cotton and that high prices will continue,
although they may possibly not remain as
high as they are at the present time.
OF course, the operators in cotton who
have practically 'cornered" the product
have perfect right to buy all the cot
ton that is offered to them. and in doing
so the risk is theirs. If they can induce
other people to buy from them they will
make money; If they fail to find purchas-
ers the time will come when they will have
to let go. and then the corner will smash
and with 1t. in all proba bility, those who
made 1t.
The Farmer Not Benefited.
To argue that the price is not artificial
but that It is justified by conditions and
that the enhanced quotations will benefit
the producers. Is useless. for neither con-
tention is based on fact. All evidence
points to the growing crop as likely to DO
one or the largest on record, and 1t is
absurd to suppose that when 1t reaches
the market the price will not find its legiti-
mate level. The only thing that would
prevent its doing so would be the purchase
hyyf no oil nFo oil pRa
would require about $6OO.OOOOOO, the sug
gestion Is preposterous The enhanced quo
tations will not benefit the farmer in the
long run. The latter had disposed of his
crop long before the advance was manipu-
lated, and unless all precedents fail the
price will be back where 1t was by the
time any large amount of his growing
product reaches the market Meanwhile
he has been seriously injured by the dis
turbance in the business of the consumer.
The remnant of the old crop. which is now
held by the SPECTATORS. will come on the
market with the new crop and will so in
crease the supply that prices in the end
must reach a lower figure than that which
would have prevailed II there had been no
undue speculation. A few spectators who
have sold late options will make profits
probably. unless those who bought them
go down in the general smash which is
certain to come. and are therefore unable
to take the cotton.
A good authority says that other things
besides those mentioned will continue to
harm the planter. The market for the man
ufactured article having been greatly dis
turbed, 1t will be a long while before the
normal demand will be restored. This per-
haps. will not be felt so greatly in this
country as 1t will be abroad. A few cents
in price makes an important difference to
the natives of India and China and they are
enormous consumers Of the manufactured
staple. Again. the high-price will stimulate
production: in fact. will make its growth
profitable in some places where it is not
now. High prices will also induce expert
ments in Africa. where already soma atten-
ton has been given to cotton raising. AMI
If any material success IS met with there,
abundance of English capital will be found
tC finance the enterprise.
Crisis in England.
The abnormal price for the staple has al
ready produced a crisis in England. where
the great mills are either closed entirely or
are running on short time. The trade in
that country is now languiShfng ana is
threatened with paralysis.
John w. Gates is taking a hand in the
cotton speculation and is said to be selling
short. with a view of scooping in the sEek-
els when the break comes. Several other
spectators are figuring on making things
unpleasant for Mr.. Brown. although the
chances appear to be that he will get out of
the market in time and go home with his
pockets well filled with ready cash.
The abnormally high prices for raw cot
ton have unsettled the dry goods market.
and it is estimated that even il cotton quo
tations should drop to 10 cents tomorrow j.
would be ninety days before prices of fin
ished goods Would be reduced. The mills
will not buy at current quotations.
Cotton Market.
By Associated Press
NEW YORK. September 3.-The cotton
market opened steady at decline of one
point on January. while the other months
were unchanged to three higher on the
highest Liverpool cables. The weather.
however. was generally favorable. and af-
ter the opening hero there was reSump