Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-10-06
The World Of
Finance and Trade
NEW YORK COTTON
FURTHER BREAK IN PRICES CAR
RED DECEMBER BELOW 1oc.

Special Dispatch to The Star.
NEW YORK, October 6.-There was q
further break In prices this morning that
carried December below 10 cents for the
first time since the advance over these fig
ures in the early part of July. The mar
ket opened 10 to Is points lower and was
20 to % points lower at one time during the
morning. The weight Of cotton In the Liv-
erpool market broke prices there sharply.
and quotations there at the close Of the day
were lowest In months. with the tone sueh
that buyers were not encouraged on this
side of the water. Weather in the south
was abnormally favorable for the develop
ment Of cotton. and recent temperatures
have been so high that thousands OF bales
have been added to the crop.
There was a report that q prominent
member of the Southern Cotton Growers
Association had stated that conditions hao
improved % per cent the last few weeks
and the crop outlook had changed SO ma
terially that he was going to sell his own
cotton and would advise. other planters to
do the same. The fact that the gentleman
In question was a -disgruntled member OF
the association carried some weight, but
the Improvements In the crop as a result OF
favoring weather conditions has been such
that many were inclined to regard the adj
vice as sound.
1t was evident at the opening of the mar
ket that large quantity OF cotton was still
hanging over. and that on much Of a fur
Their decline stop loss orders would be en-
countered. The short covering of yester-
| day led to less buying by the short inter-
| ,ests, and the tone of the market was ex-
| tremely heavy from the opening. Cotton
began to come out in large blocks, ana
bears showed more confidence than has
been In evidence at all this season. Blocks
| OF 5000 and 10 900 bales were offered around
the ring. and rallies were so few and feeble
that buying was not encouraged.
It was CURRENTLY reDx rted that a holder
Of a considerable line of cotton, cotton that
has been considered part of the October
deal, had thrown his holdings overheard on
the morning break. This rumor served to
unsettle the market and as Liverpool
closed at the bottom, receipts were heavy,
weather in the south showed no prospect of
a change to adverse conoIrions,s and as the
market Is still considered to be a long one.
Notwithstanding the. decline, Inducements to
buy cotton were not such as to appeal
strongly to conservative interests
1t was again evident that spinners were
In the market buying futures under 10
cents in New York, which represented
cheaper cotton than can as yet be had in
the south. Under these circumstances the
absorption of contracts was considerable.
but not sufficient to prevent g. decline, and
sentiment showed the change resulting from
the publication, of the WASHINGTON figures
on Tuesday of this week.
Whatever proof may be produced through
the g1nnerS' reports or Inc December bu-
reau that the crop indicated by figures
II has not been grown this year, the fact
remains that the figures themselves are
now the prime factor in determining prices,
and the effect upon sentiment can hardly
be oyerestimated.
The report has brought about radical
change in the cotton situation and, really
ing this fact, many holders liquidated early
In the week, and the ia lure OF the mar
ket to react to any extent has encour-
aged aggressive short selling
Attention Is attracted to the large uuan-
tity of cotton. coming to New York which
Is factor making for weakness when
expected to be an obstacle 70 advancing.
prices as long as no refuta ton of the gov
eminent figures is forthcoming. Operators
are watching the weather map closely. but
temperatures throughout the country were
so much above the average for this season
of the year and on the northwest so far
above the frost line that d cold wave was
still beyond danger