Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1919-06-10
COTTON BUSHWHAcKERS.
Mr.. Wannamaker Explains How the
Slump Came About.

Mr.. Wannamaker Explains TOW the
Slump Came About.
J. Skottowe Wannamaker,. president
of the American Cotton Association, in
a statement issued from st. Matthews
last Saturday afternoon declares that
"the same bear spectators who sold
an enormous amount of cotton for
July and October delivery with the
full expectation Of depressing the price
of cotton to starvation point-that Is
around IL 1-2 cents per pound basis
middling-are the people who are to-
day breaking the cotton market" He
declared that their only hopes or saw
ing themselves a tremendous loss Is to
frighten the holders of spot cotton into
selling their cotton" He declares that
if they succeed it will prove truly a
calamity.
81 WISH" said Mr.. Wannamaker in
his statement, that I could write all
that know concerning the inside
manipulation. However, l do not feel
that this would be for the best. Some
day some things will be brought to
the attention of the public concerning
the handling Of cotton that viii prove
not only q sensation but scandal.
When the curtain is pulled aside and
the public is permitted to get clear
view and a truthful history Of cotton,
and how the price was depressed and
manipulated since 1914. the result will
be complete shock.
Initiation Of Money
political economists are agreed
that the price of commodities will rise
or fall as the value of money is in
creased or diminished. This economic
law is unalterable and Interchangeable.
On the basis of currency initiation, the
price of cotton today would be as fol-
lows: In 1914 the end Of the fiscal year
showed under the old national bank
ing system a gold reserve Of about
5000, 100000. The last report from the
federal reserve system Is about $1,000,
100000. This is an increase on ratio
OF three to one. On the basis of cur
rency initiation cotton would be bring
ing to day 80 cents, while in 1514 1t
brought around 13 cents.
"On the basis Of the world the in
flation is about six to one. Enor
nous prices of everything measured
by the dollar are with us to remain
for years to come.
American mills, according to the
United States census bureau reports,
held on April 80, 1919, total of 1873
900 bales against 1,S0S,000 bales the
same time last year, or deficiency Of
100000 bales, and to make up this
deficiency and supply their wants for
the next three months, leading mill
men admit that 1t will be necessary
for the American mills to buy in ex-
cess of 100000 bales from the close
Of April to the close Of July. this
amount being absolutely necessary to
fill their wants. in order to supply the
manufactured product. They will be
81 10 fhnir
chases over 100000 bales from April
10 the close Of July.
Three Million Bales Short.
AT the outbreak Of the European
war foreign reports show mills held
of American cotton 2,700,000 bales, Of
which today they hold only 100000,
making a deficiency of 100000 bales
Thus it will be seen that America and
Europe need to make up a deficiency
of at least 100000 baels from the pres
ent supply. 1t must also be remem-
bered that the world Is bare of cotton
goods, and this deficiency must be
made up by extra time of mills on both
sides of the Atlantic, and that this
will require far more than 100000
bales from the close Of April to the
close Of July. If the mills do not con-
sumo 100000 bales within this per-
iod 1t means there will be great suf=
fering on account Of the undersupply
and the need for cotton goods.
Spot cotton in large quantities Is be-
ing shipped to Europe and just how
much may be shipped abroad during
the next three months Is only ques-
tion of available tonnage and speedy
acceptance of peace conditions, and
the completion of the export corpora
ton to furnish credits. IF the peace
conditions are accepted, the tonnage
supplied and credit furnished, Europe
will take alone an amount Of cotton
in excess Of the amount in the Ameri-
can and European mills"