Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1913-09-28
Witham Declares That Legislation
Against Trading in Futures Is
Not Possible at Present Session
of Legislature, Despite Reports.
Oscar Underwood, Called InimicaI
to Exchanges, Is Said To Be
Back Of Bill Which Bourses
Approve-l4c Price Recorded.
BY N. A. ROSE.

Cotton sold at higher prices Satur-
day than It had touched since 1910.
September options in New York
closed at 14.16 and October at 14.O5.
Spot cotton in Atlanta advanced be-
yond IA cents for the first time this
season.
In New Orleans, new high records
also were made, but a break of 80
points occurred in the ten minutes
before the close The sensational
slump was caused by a report, en-
tirely false, that new bill had been
introduced in Congress by Oscar
Underwood which would harass cot.
ton futures trading worse than anv
yet proposed.
The same rumor reached New York,
but New York had closed. On the
curb there 1t caused similar break.
w. S. Witham, the prominent Geor-
gla banker, last night telegraphed the
Georgia delegation in Congress thar
the pending legislation gives wonder
full opportunities for manipulating
the market This afternoons canard
and the ensuing break in New Or
leans, was felt by every one of his
90 banks, he declared He implored
the Congressman to let the subject of
regulating the cotton exchanges alone
until the crop movement is over.
Wires Are Crowded.
Mr.. Witham says he is advised that
similar pleas are being made by
bankers and cotton men ell over the
belt. Correspondents informed him,
he says, that the wires to Washington
were crowded last night with tele-
grams appealing to Congress to keep
hands off until the regular session, so
that the movement of the crop may
not be tortured by wild upheavals in
the hedging markets.
The cotton trade has not seen as
exciting day in many years, not ex-
cepting even September this year,
when cotton jumped 70 points in New
York. the day on which the Govern
ments September report on the con-
dition of the crop proved to be sur
rrisingly low.
Experts generally have realized
that the bulls were in a strongly for
tilted position. Statistics of worlds
stocks and mill consumption favored
them. Reports from the Western belt,
where the bulk Of the worlds cotton
is grown, uniformly told of curtailed
Yields, first from drouth and later
f1om excessive rains. The weather
map showed there were heavy rains
Friday and Saturday. The forecast
WAS for more unfavorable weather
over the eek-end and through Mon
day and Tuesday
But the fear Of drastic legislation
bv Congress, which is considering a
measure which would put the cotton
exchanges out of business, has made
traders, spot interests and Irinners
alike afraid to commit thes selves.
The market was sensationally dull, to
express it paradoxically.
News from Washington Friday
lifted the SiOOlns II WelS IcpOi lCd re-
Iiablv that Senator Clarke's ruinous
amendment would be shelved by Con-
zress in favor of the Smith-Lever
measure. which is thoroughly accept
able to the trade. A sharp advance
Friday was followed by another rise
Saturday. New York quotations, at
the close, showed that September had
advanced 1919 points, or 1896 per
bale. during the time 1t has been the
spot month.
New High Prices Recorded.
New orleans was following. New
high prices were recorded there
amid lively trading. Then came the
false report from Washington.
Wild scenes ensued. Every trader
on the floor seemed to be trying to
sell Within ten minutes, 80 point
break was recorded. Some shorts re-
tanned enough cool-headedness to
Continued on Page 6, Column 9.