The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1906-08-16
Gilbert g. cIay's Market Letter.

Liverpool options were Influenced by
extremely favorable crop reports and
closing prices were called Irregular TO
9 points lower than the previous days
levels. Spot quotations were lower by I
points, 5000 bales being sold. Cables in
dictated free selling by continental IN
terests, of near months, against purchases
for import.
Conclusive proof was furnished today
of the trades Willingness to fully re-
spond to influences favoring lower levels.
So much has been said and written or
late of the expected reaction, that
feeling of nervousness has found lodge
ment in the minds of not few, but when
Improvements do occur very little II any
desire is manifest to support the mar
ket. AS far as market influences are con-
cerned the weather Is naturally the pre-
dominent feature, but there must also
be reckoned with the already free move
ment of new cotton. and today we have
1t from Texas from good authority that
the demand for spots is declining and That
prices are easier. From this 1t may be IN
ferred that some unmistakable crop scare
scare must necessarily occur before any
thing like a permanent improvement in
the markets undertone takes place
Abercronbie & Co.'s Market Letter.
Liverpool was unfavoraby affected to-
day by it is claimed, bearish crop re-
ports from America and large offerings
OF new crop cotton from Texas. Report
had 1t also that continental Europe was
selling against spot purchases, using the
future markets in which to hedge. AT
any rate, contract values there suffered
a loss of about points and spots were
lowered points on sales of 5000 bales
The unexpected decline in the English
market removed all hope for reaction,
and the American markets opened lower
than close of yesterday, New Orleans
about points down, subsequently work
ing much lower 1t is probable that by
reason of an act of Congress, that the
Withholding of the bureaus crop condi-
ton report of next month until the issu-
ting of the census bureau report on the
amount of cotton glnned of this year
growth until about September 8, was
partly responsible for the decline that
was recorded today, as It gave shorts
respite of about one week before the
bureau repot, which is expected to show
deterioration, will be published. Thus
far, showery weather and normal tenn
peratures still prevail in the cotton belt.
bears having had weather conditions and
crop accounts to their own liking, and IL
is but natural that shorts should still be
found in the saddle. 1t was noticed to-
day, however. that there was decided
change in weather conditions In Texas
over night the average maximum tenn
perature for the district OF Galveston,
which practically covers the whole cotton
zone of the state, figuring % degrees yes
terday, and there is a probability of 1t
working higher In the very near future
Ware g. Leland's Market Letter.
There was another sharp slump in cot
ton today on the failure of Liverpool to
follow the recovery of yesterday, and
when recent buyers for a reaction started
to sell, prices slipped away very rapidly
January sold down to 9.62c, with Deem
Der only points from 91sc during the
session.
For some reason there seemed to be
no report, and beyond the short cover
Ing from time to time the market was
devoid of the buying that was needed to
sustain prices.
Large quantities of October came out
around 91hc, and this broke that month
to 9.4lc very easily.
Reports from the south Indicate that
the better weather for the development
of cotton could hardly be devised by ma
ture.
Under those circumstances and in view
of the fact that well-informed people are
unanimous in declaring that crop ac-
counts such as are now coming in have
r.ever before been received at this season
OF the year 1t is very difficult to see
how there can be found a genuine basis
for a bull speculation in cotton at the
present time.
The entire market lacks buying, and
as the movement is beginning to snow
up heavy, there is likely to be further
decline in prices before the downward
move halts.