Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1913-06-15
SHORTS JOLTED
WHEN OCTOBER
GOES SOARING
Rumors of Settlement With July
Bears Seems to Have Foun-
dation-SpOts Strong.

NEW ORLEANS. June 14.-Shorts
in the cotton market received another
jolt in the early part of the week,
when October contracts sold as high
as 1852 At that level, about the
last bunch Of stop-loss orders was
reached, and as longs were inclined
to take profits, both here and in
New York, a reactionary tendency
developed, and a substantial recession
in prices since has occurred.
Accompanying the elimination of
the advance were reports from New
York that the leading long interests
there had accepted a settlement with
the shorts in the July position in
that market. This report was sub
sequently denied, but the fact that
the July position in New York, after
selling as high as 1926 Tuesday, in
the face of panicky conditions IN
the stock market, has since dropped
below IL cents, tends to confirm the
reports of a settlement. Messrs
Brown and Hayne. the local bull
leaders. still are in New York. 1t IS
believed that as a result of the spec
Vlative fireworks featuring the July
position recently in New York, these
two well-known operators will re-
turn to this city Weather than when
they left for the East several weeks
ago.
Europe Still Buying,
Trade interests in Europe continue
to give the market good support on
all declines of consequence. Liver
pool has shown strength day after
day. with spot sales there ranging
from 1900 to 5000 bales Without
these large spot sales, the bear ele-
meut. which has been badly burned,
would have shouted manipulation
but the buying Of actual cotton shows
that the spinners themselves are in
the market for the raw material.
In our market, the trade inquiry
for cotton for immediate shipment
continues good and any desirable
lists Of cotton can be sold readily at
full market quotations. One spot
house, which had a lot Of cotton
averaging middle to strict middling.
had bids from three buyers, each of
whom was anxious to get this cotton
for immediate shipment.
With middling cotton selling in this
market at II 3-S cents per pound,
trade interests see little danger IN
buying the new crop months around
lips, or at a discount of over 100
points. The speculative seller thus
guarantees that in three months
time, actual cotton will be selling a
cent a pound cheaper than II is ut
present, although for the last two
years. during the midsummer, prices
have recorded advances Of from
cent and a half TO two cents a pound.
October contracts both in July last
year and in 1911, selling above 1S
cents.
Crop Reports Cheerful.
Bears are still harping on good
crop prospects. There is no denying
the fact that the reports coming In
from the central and western belt
are of a glowing character and speak
Of a marked Improvement in the con-
dition Of the crop since the date OF
the last Bureau report
On the other hand, however, pri-
vate reports from the eastern belt
are not so encouraging. Excessive
rains have fallen in some localities in
the Atlantics, and some complaints
are being received Of grassy fields.
Within the last few days weather
conditions i'm that section have inn
proved to some extent, and bearish
enthusiasm about the crop outlook IS
growing. With such a good trade de-
mand as exists, though, crop condt-
lions must continue promising, or
else the bear viii find that all his
hammering of values is Labor lost.