The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1910-04-24
LIVELY PERIOD IN
COTTON BUSINESS
Government Action and Failure
of Firm Cause Shakeup
PRICES MOVE SLOWLY
PRICES MOVE SLOWLY
of Government Investigation and
Failure of Firm Affects
Business Temporarily

New York, April 23.-April, 1910. will
long be remembered as the month in
which an unprecedented action was taken
by the federal authorities as to cotton
speculation and prices federal grand
jury during the week has subpoenaed
Messrs Brown, Hayne and other members
of the so-called bull clique to practically
show cause why they should not be in
dicted for alleged violation of the provi-
sions of the Sherman act dealing with
restraint of trade. Many prominent mem
bers of the cotton trade have been sub
poenaed to give testimony. Feeling has
opponents instigated the government ac-
ton and look upon the proceedings as
tantamount to the pleading of the baby
act or an attempt at "welching."
Those who uphold the governments &C.
ton think that illegal contracts have been
entered into by the bulls with the mills
whereby the cotton trade has been tied
up, many mills forced to curtail and many
hundreds of operatives thrown out of em-
ployment. The effect of this bombshen
was at first a sudden decline of about
P4'oV a DoiO III LILO may OpllOu, Dut ILLS
has since been recovered. Cotton ex-
change seats, however, have fallen OFF
5000. the latest sale. being at $1,000. Some
fear that the validity of the New York
contract may be affected by proceedings
whatever may be the issue, and especial
ly should the bulls be indicted.
It is supposed by many to be In the
main a fight between New Orleans and
Chicago bulls against well-known New
York and Philadelphia spot OFFICES and
their following. Meantime large quanti-
ties of cotton are arriving from Liverpool,
apparently brought here to fight the May
deal. Bears claim that these importa-
tions are without loss. Bulls, including
Mr.. Patten, assert that they mean loss
of 81 or more a bale.
Bulls contend that there is no corner.
because the May option here is practi-
cally lower than the price of spot cot
ten at New Orleans. They want to know
why all spot dealers and planters at the
at prices relatively above those ruling at
New York, and say that high prices are
due to the small crop last season. Mean
BILE. Recent rains In the southwest were
very beneficial for the coming season.
The acreage, 1t is believed, will be great
ly increased. Dry goods are quiet So Is
the spot cotton at the south. Speculation
has received a blow. Prices are still very
much higher than last year. Bears think
there will be cotton enough.
New York, Chicago, Liverpool and the
south have sold here to greater or less
extent Bulls, however. have sustained
prices from time to time. Large spot in
terests have been reported buyers of May
and July. Utica IN. 70 mills are now
running full time. Frost has delayed
planting or caused some replanting. it is
said, in parts of the southwest. Manches-
ter sends cheerful reports in regard to
its trade.
Some spot dealers at the south. unable
to fill their contracts owing to ruling
high prices, have announced their suspen-
sion Covering in New York against
these failures has caused brief rallies.
Taking the week az a whole, the net
changes are trifing, however. Everybody
Is awaiting the issue of the government
action and meantime the trading is light.