The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-10-25
COTTON EXCHANGES
TOOPEN TOGETHER
Liverpool and New Orleans
Markets Will Resume
With New York.
INFLUENCE on PRICES

FOR the first time i'm more than two and
half months there is a positive Keeling
OF optimism IN cotton circles. The re-
opening OF tho Cotton Exchange sone
time early in the coming month Is a prac-
teal certainty. All the old obstacles at
least have been disposed or with the ex-
ception Of scattered, although troublesome
details. and as the situation now stands
business will be resumed before the mid
die Of November.
So hopeful are tho members Of the
conference committee ;ha; steps will be
taken to-morrow or next day to ascertain
whether Liverpool also will be In position
10 resume business IN tho near future
or course there will be no attempt to re-
open the New York Cotton Exchange
alone Ii would be asking too much to
expose the local market to the brunt OF
tho hedge selling against the entire crop.
For this reason II would be necessary
to find out how Liverpool stands and to
hN upon date for synchrunuus opening
So far As the leading members ut the Cot
ton Exchange know there Is no reason
why Liverpool should not be able to open
when New York signifies its prepared
ness. The New Orleans Cotton Exchange
has everything In readiness, as the CON
tract situation in that market was not so
extended as IL was here.
w ltn the assurance or carly rcOpenlnE
the point that is beginning to interest
the trade is the price ut which the mar
ket - likely to open and the course
Of prices thereafter. Although Southern
spot quotations suggest the possibility that
initial prices here may be under 6ia cents.
there is likely to be surprise I'm store for
those who expect "A running decline to
cents. The reopcninE OF the Cotton EN-
change Is worldwide reflection OF the
desire to have a natural market In a com
modify that enters into more uses than
any other raw material except steel and
iron. The world wants 10 buy cotton but
insists on being able to- make its pur-
Chases Wholesale and properly safeguarded
by the insurance machinery provided by
the exchanges.
There IL likely to he much less hedge
selling than many persons now look for.
IT is not so essential to make hedg"
sale nt cents as AZ IL or 10 The
absence Of hedging market reveals weak
ness. but tho mere fact that the New York
Cotton Exchange was open would exert
a sentimental influence that would he
equivalent To- the purchase Of a million
bales Of spot cotton in the South. In
other words IL would he known that the
hedging facilities existed and could be
used NJ any moment Consequently the
holder OF cotton would not be then in a
helpless position.
y IidNe view pl mo 'tufNll'u - priv
scented bv paragraph from tho cotton
yarn review OF the Terrific MdnulGcfurcrs
journal. which says
The opening % the Cotton Exchange.
!, is believed. would exert a hullsh in
nuence on raw cotton. as there is bound
to he large amount 81 buying Of hedges
and for speculation futures market
will afford mills basis FOR contract
work and viii give advance orders
safer standing
Although the Southern press has
handled the cotton situation with most
commrndable soundncss ~ judgment, the
Southern members of Congress and cer-
tain others who loom large In the public
M. of the cotton belt evidently have not
walked up to the new order OF things. For
instance. GOV q. - tolqultt ot Texas
has sent \ message to the special session
Of the Legislature stating that he be-
lleves a moratorium now is the only way
90 save tho Texas farmer from ruin.
II will he interesting to hear from the
farmer when this SANDER finally reaches
him.