The news scimitar. (Memphis, Tenn.) 1907-1926, 1919-03-29
BY GEORGE WILLIAMSON.

Marking time was done in the cotton
market during a large part Of the week,
for developments in Europe were such
as to arouse more or less fear and to
delay progress toward actual signing of
the peace terms. The outbreak in Hun
gary and the apparent spread Of Boil
shevtsm westward brought additional
problems for the peace councillors and
tended to eompltcate what nae already
been done, As one Of the bases of OPP
ti1ntsm a been expectation of early
peace and an opening up Of the entire
world to commerce, this outburst of
radtcaltsm was widespread in its eff
fects. 1t was almost like throwing a
wrench into machinery and necessitated
some immediate action before work
could be carried on to successful con-
clusion. This as an influence was more
or less psychological. yet it occupied
much Of the trades attention. for al
ready the market was almost in a state
!. of e%quipoise and both sides disposed to
make haste slowly.
Authorizations we've rot wide, being
about l50 points, and net changes
slightly fav0ring the bear side. Trans
actions In the old style contracts were
fewer, indicating that the process of
liquidation is reducing interest in such.
In the new there was at 10 time dispo-
4 sition to do much either way, although
some stop-loss orders were uncovered in
the early part Of the week when a few
professional traders tried to tighten
their load of longs because of the UNI
settled state OF affairs in Europe. The
recovery which followed resulted from a
less pessimistic view of the foreign stu
alton and absence of evidence that
spots were weakening much,
In New York the list of new style con-
tracts closed the review period from 2
points to the good to so lower, while
New Orleans was up 5 to s. lower. In
the spot centers quotations were lower,
middling ranging in the belt from Is. loo
to 36,75C, a decline for the week Of rs
to liz points.
Traders Seem Gun Shy.
For the traders who were bearishly
inclined there was encouragement in a
way, yet they were not disposed to try
to press their advantage. They appar-
emily recognized that the spot situation
was not in worse condition. than it has
been, and that quotations were danger
ously near actual cost of production.
The discounts of contracts compared
with spot quotations still existed. which
eXerted restraining effect on any pros
pectiVe' sellers, for there was no way
for them to know who was absorbing
sales with a view to demanding deliv-
cries later. The disposal of the ire
mendous supply of raw material was
making little progress, but it was quite
manifest that those who were carrying
IL were not u"lSplhylHB any dlNlSly anu
the apparent success Of the effort to
reduce acreage implied independence as
ITO selling. While there was expressed
a degree of doubt as to the success Of
the reduction movement to the extent
Ii sought, for it was significant that the
gbears were not overlooking it as a pos
sible source of trouble for that side,
Especially as there is a late start
no telling what the weather will be
Nduring the next two months.
Weather conditions were in the main
favorable. There were some rains
which were not needed in the central
f#Hnd eastern belt, while the Southwest
also had some, Work was interrupted
and further delayed, but the lack of
loud complaints tended to encourage
1.-THE notion among traders and observers
that the situation was improving some.
Temperatures were a bit low for sew
MI eral mornings, but this did not in
terferc with blowing. The firmness
shown in the markets for food and
feedstuffs offered added incentive for
the South to grow more of them, and
they must be planted first, But little
cotton perhaps has been planted yet,
although some of the earlier sections
have perhaps done all they. could to
get off as early as possible in an eff
fort to get ahead Of the boil weevil.
The first private. guess at what acre
age will be was for a reduction OF
15.9 per cent and for rs per cent less
3, fertilizers than used last season. This
proved barren as a market factor, but
some bears undertook to get encourage
ment from the fact that the indicated
reduction was less than the South
seems hopeful Of making.
Spots Are Inactive.
In the spot department business val
still restricted, Domestic spinners
nave not shown disposition to depart
from their policy of buying sparingly,
while the exporters are still handi-
capped and are doing little. The ster-
ling exchange situation was disturbed
all the week and lack Of quotations
and the low price at which it was
selling tended to discourage exporters
from trying to do anything, except
where they were protected. The de-
clining tendency in British consols also
dampened any rising enthusiasm among
the foreign trade interests, as 1t was
regarded as symptomatic and perhaps
reflective of unsatisfactory financial
conditions abroad,
- a1The export movement for the week
was less than 100, 900 bales, the sea.
son total being only a,44S,0o0 bales
which is quite disappointing, There
was little change in the situation, al
though some stiffening of ocear
freights recently has helped discourage
Husiness. In Liverpool spot sales in
creased somewhat, the daily average
getting up to 1000, which is larger thar
in a long time. But trade accounts
from Manchester were far from en-,
couraging, the official cable Friday say.
ing that cloths were dull and yarns
dull and depressed. There is a more
hopeful feeling over there regarding
their labor troubles, but 1t seems tina
business there as well as in other di,
r~ections is waiting on peace terms t
be signed.
In this country there was mot quite
so much snap shown in the finished
goods markets and some recessions II
qutt atoms took place. This perhaps
encouraged the spinners in the attitude
of waiting. although the bigger bash
for this is no doubt their belief tina