Arizona republican., 1918-11-24

y
scribers of Liberty bonds for large
amounts, purchase large amounts of
Liberty bonds themselves and still loan
to anyone for any purpose for which
he may desire it. 1t is the policy of
the banks in such time to take care of
actual necessities.
I saw in the Wall Street Journal for
November II a little article which |
will include in this statment as it may
be of interest to some of your readers:
Some excitement was created in
cotton circles on Wednesday when an
order was posted at the Exchange pro-
hibiting speculative short sales of cot
ton. The cotton committee of the war
industries board issued a second order
torbldding the execution of selling or
ders from foreign countries, except in
liquidation of actual cotton. The rea-
son for these orders does not lie too
deep beneath the surface for easy dis
covery.
on Tuesday cotton fell $40 a bale.
1t would have gone lower under the
pressure but for the exchange rule that
does not permit any fluctuation either
way of more than two cents a. pound
1t was said that peace broke the mar
ket. But peace should be the greatest
bull argument the cotton market could
advance, because the consuming world
IS short of both goods and raw cotton,
The course of the market for the
whole day tells the story. In the fore
noon prices advanced under the slim
illus of peace. Then Rumor began her
work. She whispered in this ear and
That that the government would cut
cotton goods prices on a certain date.
ha Z
her information. The allied nations
would buy less cotton. Their visible
supply figures give the lie to anything
of that kind.
How exactly all these different ru
fnorS corresponded to what we have
been subjected to for four years. no
one thought to remark at the time
Had dealers looked closely they would
have seen a spiked helmet en- Rumor's
mead. They would have looked too at
the unusual offerings Of cotton. The
word unusual is used advisedlv here.
Continual offerings to sell in such a
market with the ground prepared in
advance completed the work, and cot
ton went down $40 bale. not because
OF peace, but because the worlds peace
breaker wanted to purchase.
IN the three years before the war
Germany and Austria imported 5000. =
200 bales of American cotton. How
much they took through the ports of
other countries is not known. They. of
all the world, are most in need of cot
ton. But they do not want to nav tho
price. What more brilliant from the
German viewpoint than to pound the
market down by heavy offerings and
snort sales, and then buy actual cot
ton at the bottom? The cotton board
meets this by an order forbiddinp of
terlngs for sale for foreign account
once again those idotic Yankees re-
fuse to put their nechs into the moose
4 prepared for them"
/ nave heard few people saw they
were not going to raise long staple cot
ton next year, but that they would nut
IN snort staple. L think this would he
Dig mistake for all concerned. There
/ have been many times in the nast
thirty years when there was very little
market for short staple cotton ana
/ Whlle short staple is now selling for
ABOUT thirty cents pound, four years
ago there was no market for it at any
price and every one in the United
! States was asked to buy a bale of cot
ton. In fact, it was a slogan at that
time. believe that the farmers car
make big money raising long staple
cotton at sixty cents a pound and ]
would dislike Very much to see it dis
continued in this valley.
Yours very truly,