The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-10-17
COTTON SENTIMENT
Is MORE CHEERFUL
Improvement Thought Likely
Unless Certain Plans
Miscarry.
SITUATION IN LIVERPOOL

| II Is the view Of not n few experienced
cotton merchants that the lowest prices.
| speaking In an approximate sense. have
! already been seen for cotton provided
certain contingencies are met. More
| over II IL not believed that the present
optimism is qualified by too many IFS"
to bear hopes for gradual and steady i'm
provement Just how much Of this
cheerful feeling has been prompted by
the prospects Of the success OF the $780,
100000 cotton pool devised by Fcstus J.
Wade It is impossible TO determine. This
plan. at any rate, has more OF the ele-
ments OF sanity than any OF the other
stupendous schemes for the relief OF
the southern planter. In that IL appears
to contemplate measures to enable the
! spinner to finance purchases Of reserves
1t has a feature of commanding excel
lenCe. .
1t Is probable also that the belief that
the New York Cotton Exchange may
soon resume business has had pro-
| nounccd influence on sentiment. with
this institution open and operating on
u normal scale the surplus of possibly
5000, 600 bales out of the present crop
would not impose an insuperable burden
/ Through the mechanism OF future CON
tracts 1t would he possible 10 distribute
this excess over period OF years. so
that the overplus would he as welcome
two or three years from now as il Is
terrifying at the present
In fact. II the trade could he rid Of the
obsesson that the only way to obtain
reasonable price for cotton Is to with
hold II from the market and substitute
for this fallacy the purpose of facilitating
broad channels for the outlet the correc-
tion of the present situation would fol-
low automatically
OF Sir George Palsh. former editor OF the
Std'is;. who has Just arrived here IN tho
reported capacity Of financial adviser 81
the British Government. Cotton men read
yesterday with great interest an inter-
view in which Sir George was credited
with saving that the cotton situation was
one OF the important matters which he
wished to take mp while here. He added :
I'VE feel that the situation Will quickly
strengthen itself The opening OF the
Liverpool Cotton Exchange will 81 course
depend upon New York and New or
,eans. We expect your market soon to
he under way The free movement of
cotton will OF course facilitate the pay
ment OF the amounts due abroad"
While some OF the larger urms with
international transactions Will b. likely
to respond TO I.iverpool's request that
remittances be made of funds deposited
in trust as margins on open trades Il
does not seem probable that this action
will be followed by the generality Of
Local commission houses. These latter
are disposed to adhere strictly 10 thu
text Of the conference agreement stating
that these funds We're 90 remain In trust
until the trades were closed out. There
appears to be no actual i'll feeling over
the subject. but the determination to re-
nj the none IN. less
firm.
No reports were issued by the important
committees yesterday II was unofiicially
stated that progress was being made. al
though IL Is disappontugly slow. The
conference committee has practically
completed the examination of the mem
bars. and IL is hoped TO have all the re-
plies IN by today. Then the committee
will know where t. stands, both a. TO re-
sources and the amount OF contracts which
the syndicate will have to take care OF,
The following statement from the Liver
pool Post as 10 why the market there
has not reopencd should he Interesting
to the American cotton trade.
AS FOR tho gentlemen who arr aEtat-
ing for an immediate reoprning OF III"
+ futures market I'm Liverpool, until ade-
/ uuot. safeguards have been provided
safeguards not. let II be understood. solely
FOR Iiveruool's benefit but for that OF
The whole cotton tradr-thcv surely Dc no.
understand what they are talking about.
4 AT tho present moment flooo.000 20
f2OOO 900 Is owing to the liverpool mar
ket by Continental splnners. American
brokers and merchants and Lancashire
sp!uners and manufacturers, the latter IN
n perfectly legitimate manner, Ike their
Continental confreres having bought
cotton futures as hedges against sales OF
yarn and cloth. Now, suppos'ug for a
moment that as these short sighted
agitators desire Liverpool did open with
ont proper precautionary measures and
prices dropped suddenly to q level which
exhausted the resources of those who hold
the contracts on behalf of the clients
mentioned above. resources which. II Is
needless to say. have already been very
heavily taxed. where would a number of
the big spinning and manufacturing con
Germs IN Lancashire be. without mention
What would happen would be that hun
dreds of thousands OF pounds of loan and
mortgage money would at once be- called
in, a great number OF limited and private
concerns would find themselves IN Queer
street and probably the very gentlemen
who are so keen upon having what they
call free market in Liverpool would he
among the first to suffer and also be the
first 20 complain Of Liverpool's action"
Advances OF &c We're reported by
practically every Southern spot market
from az 20 SIC, with Savannah and
Little Rock AZ the low figure and Houston
reporting the highest figure Of all tho
/ interior markets Exports wore 34.s9i
bales, chiefly TO Great Britain and Japan
The into sight for the week was estimated
at 10000 bales. against CSC, 900 for tive
same week last year