The herald and news. [volume] (Newberry S.C.) 1903-1937, 1910-09-02
AUGUST C0TTON GOES
HIGHEST SINCE WiR
Reaches 20 Gents Pound of S1C0 Per
Bale in New York Market-De-
mands From Shorts.


sold at 20 cents a pound in the New
York cotton market today on urgent
demand from speculative shorts, who
| had postponed covering until the last
minute in the hope that the increasing
new crop movement might break the
control of the bull leaders.
This price, the highest reached for
cotton for any delivery since the War
OF Secession and exceeding by nearly
p 1-2 cents above the highest figures
reached in the famous bull year of
1903-'O4, which until now had stood
as a standard Of comparison, was re-
garded by many as the eliminating
point of the bull movement in prog
ress here for the last six months dur
ing a season, which, when it ends
next Thursday, will go down as the
most spectacular in the annals Of the
cotton trade since the war.
Sales Rather Small.
Not a great many bales, perhaps
$4,000, actually changed hands on the
advance from 1882, the closing price
Of last week, to 20 cents for August
this morning. At 20 cents an offer
from ". P. Brown, one Of the bull
leaders, to sell 100000 bales checked
the upward movement, and it was the
general impression around the ring
that this was level fixed in the open
market as basis for settlement Of
the entire August interest remaining.
Later, however, this view of the sit
uation was somewhat shaken by the
fact that after reacting from 20 cents
to 1920 under scattered selling of
few hundred bales, August again ad-
vanced on renewed buying by shorts,
touching 1890 IL the afternoon
within 10 points Of the high record.
At the close, August was quoted at
1875 bid, while new crop months,
which had been very quiet all day,
were only 4 to points net higher.
Spots Unresponsive.
In the local spot markets the prices
were marked up to 1875, but the
Southern spot markets showed no
such gain, the greatest advance re-
corded being 3-S, at Savannah, show
ing the local character Of the extern
sive advance.
No one has attempted any accurate
figuring Of the profits Of the big bull
leaders, W. P. Brown, Eugene Scales
and Frank B. Hayne, all of whom are
under indictment charged with con-
spring in restraint of trade in con-
nection with the bull pool James A.
Pstten, of Chicago, is included in the
indictment, but in view of his repeat
ed announcement of retirement he
was not generally considered a party
to today's transactions.
Handled Much Cotton.
In all the bull leaders have handled
spot cotton to the amount of 100000
bales, valued approximately at $780,
100000 But the bulk of this has been
shipped abroad and just how much
of it has been actually sold and how
much OF 1t may now be held on con-
signment at foreign points is uncer-
tain. Inasmuch, however, as the bulls
have handled contracts for many thou
sand bales in excess of what they
actually received, they have undoubt-
edly taken large speculative profits,
no matter how their deal may turn out
when their last bale of spot cotton has
been sold. In the New York stock ex-
change they still own about 100000
bales.
Rumors circulated in the trade af-
ter the close Of business today were
that there was still considerable
August short interest outstanding.
which must be covered by noon We'd
nesday. At that hour trading in Au-
gust is over and with it ends all busi-
ness in the old crop season of 19O9-'1O.
More High Prices Likely.
For the last three or four months
the bull campaign in the old crop, al
though based chiefly on the fact that
the crop grown during the summer
and autumn Of 1910 was 100000
bales under normal, has had the Ell
couragement of very unfavorable re-
ports from the coming crop and pre-
dictions that the world was facing a
future Inadequate supply. Naturally
another short supply following year
of general curtailment and procras-
tination in purchase of both raw ma
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