The news scimitar. (Memphis, Tenn.) 1907-1926, 1919-12-06
BY GEORGE

uncertainty prevailed in the cotton
market during the past week and there
was pefhaps more tendency to he bear
lsh IMAM Tor some time: yet results were
IN favor OF those who were Of the on
poBite view. There was ~uuexpected
slrength and net changes were gains,
slght as they were. Attainment Of the
4O-cent level was had in the contract
department at New York, which meant
me Setuement of mar wagers and the
turning loose OF many II told YOU SOS. "
me December option sold twice at that
tlgure, but shorts who were less i'm
patient we're able TO cover at a little
lower level. helped by the circulation
OF a few notices. The disposition among
the ShortS TO cover, seeing small chance
or protection through deliveries of the
actual, because Of small certificated
stock and the failure OF spots IA weaken
so that such can be replenished, gave
strength to the entire list and occas-
ioned predictions that as zach month
draws toward maturity there Is going
TO be danger for the shorts, unless UNI
expected weakness develops in spots.
After The week of restricted trading
the list Of options in New York shows
net gains Of 40 to 80 point, while In
New Orleans there was a gain OF 1870
points on December to a decline of 3
on July. opinion varied quite a bit
as to probabilities in the later months,
but a significant absence OF willingness
to sell much was noted. In the spot
department middling ranges from IS. so
70 1925, which is as a rule from 80 to
100 point above quotations one week
ago, one or two centers having reduced
them slightly, Volume of business was
small, attributed chiefly to fewer offer
ings, although an appreciable lessening
OF demand was noted. However, for
certain kinds Of cotton demand was
well sustained and sales were as large
/ Qq nffnFinug fhn MaraRhta SaIaa af "a pEn
bales attesting such.
Coal Strike Influence.
One Of the chief influences, but with
complicated effect on values, was that
OF the coal strike. Because VI the fuel
increased as the week advanced. indus
trial activity was lessened and sentl-
ment on the bear side given impetus.
Traders feared the results and natural
ly hesitated on the buying side. But in
Liverpool the effect was to the con-
trary. II was feared that movement Of
cotton from this country would be
checked and therefore the value OF raw
material already over there or en- route
WAS enhanced, which encouraged short
covering. Announcement that after
Dec, & coal for foreign ships would not
be available over here tended TO lessen
prospects for exports. The sharp break
In sterling exchange also had similar
effect on the value OF cotton In Liver
pool, in that the handicap on exporters
was increased.
Developments In the money markets
were confusing to the trade. There was
no change of consequence in rates pre-
waiting over here, but rates on foreign
exchanges all receded sharply, evident
iy the result OF heavy offerings because
OF liberal exports. Recovery In the
price Of silver metal afforded some off
set to Manchester, but little encourage
ment was had for any Improvement in
exchange rates. The international po-
Iitical situation was such as to discour-
age hope Of relief through the extern
sion OF credits from this side. The
statement from Germany that she
would refuse to sign the protocol Of
the allies. regarded as an aftermath
Of the action Of this country In falling
to sign the peace treaty, tended to in
crease the anxiety, but as a market in