New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-09-27
CLEARING HOUSE
FOR COTTON
Exchange Members Planning
for Daily Settlements Spot
Markets Easier.

With the work OF preparation for q re-
sumption Of business well under way. mem-
bers OF the New York COtton Exchange are
now considering plans for tbs orsanization q
a Clearing House AsSocisti5n In order 20
prevent or minimize losses through any pos-
sible Street" failure IN the future. ~ M
language Of one o. the prominent hooses
which advance such measure. q y con
sidere6 TO the test Interests OF the *
change that the members should at t1h.
time unite In demanding the adoptson ~
some plan OF clearance that VIII ~ ts ~
involve daily settlements. on the oasle ~
their net interest In the market, THEREBY
obvlating the necessity OF locking ~ sh-
necessary margins with the trust eornpA1tee
and return to the archaic methods hol-
merly In vogue. when the exchange recpsns,
and which the action OF the exch9ngs 80
demonstrated To be no longer CONSISTENT WIN
the full projection OF its memoera, A.
One OF the plans suggested 20 fnempeLs -
the exchange by another OF the larger nooese
advocates the incorporation OF clSslnlSS
house association, under q state essrSsf, - -" =
the purchase by each clearing nrm OF
stated amount OF stock. Il u pfepo1so
that all transactions In cotton tufaree -
cleared through this association, unless otnsS.
wise arranged by both parties 70 Sne ,ssSss
and that. upon acceptance Of such sIeass;
the clearing association becomes pllheiR.'
in every contract. This. Il Is ssid, Wy, VIZ,
financially SOUND association, would ssa .i. ~
the impossi6ility o. iosses .,e N1Tes,sd ~
70 the calling Of margins, ana tne e1pen 49,
of The association are proposed 20 Be ne
by a Moderate fee on clearanees. u 20 -
there Is nothing In the new eotton tutu. ~
law 70 prevent tho operation OF sucH ~
The report OF the conference committss
showed that 100 bales OF the old stlaae .n,
Interest between New York and Lygfpgel
mad been lIaLIdated as a result OF Frloay y
operatlons In the English market. Inc ms .t
amid progress OF this liquidation rec5S
has been one OF the encouraging ,feet9asee
~ .he situation, and at the lower pIisss
now quoted It is expected that atill petts eI
proeress will he made during the cohinJ
tH,eeL SO Tar the liquidation under this pi.h
hos resulted in the sale here Of 100 oales %
Dacembsr contracts. There will be epeclAl
meeting OF the board OF managers OF the y
change on Monday morning, which may %
foIIoned BY an announcement bearing w.
questions connected with the reopenlns OF u''
FINAL ideas as 10 the yield will doDntless
he n1odidod BY the frost date, or stoi1
deveiopments, but at present the tSlk p ~
.o,,sr II no 900 and possibly l6,WO.OeO. wiz
a favorable government CONDITION teyvlt
nected next week. Local spot hanaleis ~
norted easter Southern onerings Aho ~
H,eakness created a pessimistie view OF IN
nyics movement, notwithstanding the Ss.h
i,tss NJ Buy-a-B BALE clubs and other noldins
nronositiong The voluntary committee ~
~ eIchange has arranged that memDSIe
Jssir,no 10 start transferable notices on Cei
toLsr contracts may do 80 on Monoey' a"N
sUggests a notice price OF s.ooc.