The Dillon herald. [volume] (Dillon, S.C.) 1894-????, 1911-06-01
COTTON EXCHANGE is BAD IN.
FLUENCE.
Lewis w. Parker Denounces the
Methods of the New York RoJv

American Cotton Manufacturers
Association was heated discussion
this afternoon between Arthur
Marsh, president of the New York
cotton exchange, and Lewis w.
Parker of Greenville, chairman of
the committee on relations with cot
ton exchanges. The occasion was
practically an open rupture of the
strained relations which have exist
ed for some time between the asso-
citation and the exchanges.
Mr.. Parker's assertion that the
New York cotton exchange caters to
spectators rather than to the needs
of legitimate business, and that the
prices of cotton have been manipu-
lated by members of the exchange,
to the great detriment of both
spinners and producers, was cheered
to the echo by the convention Mr.
Marsh warmly defended the ex-
change, pointing out that it is an as
sociation of merchants trading in
cotton, with rules in the interest of
the merchants rather than in that
of the manufacturer or the pro-
ducer.
Sides With Parker.
The convention decided with Mr.
Parker, adopting the report of the
committee unanimously and continu-
ing the committe for further con-
ference with representative of the
exchanges and with instructions
that if relief is not given it shall
seek remedy through legislative
channels.
The gist of the committees re-
port is as follows:
The Manufacturers associations
should have no fight against cotton
exchanges if those exchanges truly
reflect conditions of spot cotton.
On the contrary, an exchange, if
legitimately managed and regulated,
and if the prices ruling thereon are
truly representative of spot values,
is and should be TIL the decided ad-
vantage to cotton manufacturers, as
also to producers, but if, on the
contrary, the prices reflected on
the exchanges are merely the re
result of speculation for or against
another element, then the exchange
becomes Il serious disadvantage to
the manufacturers and to producers
and cases to be legitimate body.
New Orleans Better.
The two principal exchanges in
the United States are the New Or
leans and New York cotton eXchang-
es. Under the rules of the New Or
leans exchange the prices ruling
thereon are in much closer relation
to the prices of spot cotton than as
rule there are the prices of con-
tracts on the New York cotton eX-
change.
by reason of the rules of the
New York cotton exchange, it is
seldom that the prices of contracts
on that exchange are on parity
with spot cotton or truly reprCsen-
tative of the price of spot cotton in
the community of production plus
the carriage charge to market.
AT times the prices of contracts
are much above the prices of spot
cotton. At other times they are
much below.
Cater to Spectators.
Your committee is forced TO
conclude that a majority of the
members of the New York cotton
exchange are more impressed with
the view that it is to their interest
to cater to spectators than to make
of their body a legitimate exchange
reflective of the true value of the
commodity in which they deal.
Your committee recommends
that this association once more eX-
press it's earnest hope that thhe cot
ton exchanges, and particularly the
New York exchange, will rectify
their rules so as to make d true
and proper relation between con-
tract prices and spot cotton; that
if these rules be not so properly
regulated as to make this relation,
that your committee be authorized
in the name of the association IL
present such memorials to the leg
islative bodies as may lead to a
proper regulation by them of the
cotton exchanges"
More Cotton Needed.
d. Y. Cooper, of Henderson, ". c.,
president of the association, in his
annual address urged the necessity
for the South to raise more cotton
to meet the increased demand OF the
manufacturers.
The crop of 1910-11 will be
worth 81 0nn nn0 0n0 he said ~ OIL