The news scimitar. (Memphis, Tenn.) 1907-1926, 1920-02-04
COTTON MARKETS
Wednesday Afternoon. a..

wednesday AAAEAANAAts ENh- -
Lively happenings featured al the
markets today, and cotton shared with
the others I'm working downward. The
main influence was the monetary stu
alton, sensational declines In foreign
exchange, especially sterling, causing
widespread liquidation. The crash in
values was just such as many people
have been expecting for some time, for
the claim that cotton would be an en-
ception to the effort at deflation in
values hardly stood up under logical
reasoning
The Generalization of the day before
IN exchange was hardly a marker to
what was witnessed today, although in
way prepared the trade for 1t. First
prices reported this morning were sew
eral points to the bad and later ones
we're worse. Sterling demand rates
dropped to $S.19. which compared with
closing level last night Of about 1885,
and other exchanges were down in pro-
portion. The Liverpool market was
better than due, but did not by any
means respond in that direction to the
depreciation in sterling. During the
morning there came a report that the
British government had ordered inn
portation of cotton stopped for the time
being as measure to help stabilize her
money, and that some cotton had been
ordered turned back. The report did
not get confirmation, but it served as
additional incentive to selling, and
values went to their lowest level OF
the day thereon. The May option in
New. York, which opened at S.40c, four
points over previous close, sold as low
as 3l47c, within seven points OF the
one day limit Hurried covering was
done on the decline and some recovery
followed, but 1t was only partial, the
option resting just below 80 cents a
short while before the close.
Liverpool was due to come to 10
points to the bad on the close over
here, but when sterling rates were so
much lower this morning naturally
failed to show any decline Of conse-
quence and later worked upward, Finals
were irregular and from II to 81 points
net to the good. Spots were down IL
points, fully middling to 2S55c, with
sales 5000 bales, including $500 Ameri-
can. imports for the day were 5000
bales, but none American, Silver metal
was up gid the London quotation be-
ing SSAd. That was, in measure re-
Elective of the unsettled money mar
kets generally.
Domestic markets were under the in
fluence of exchange more than any
thing else and selling was general with
buyers scarce and timid The weather
map showed that the eastern belt re-
CeiVed general rains, but the west and
weer for none. The weather was re-
garded as fairly favorable.
Trading volume was larger than for
some time and it was claimed that
more selling was done by. the South
than for some time. One Of the expla-
nations for the rebound in exchange
rates In the afternoon, demand going
back up to 1881 after having been as
low rs 1919 was the rumor regarding
cotton imports into England. 1t, how
ever, was not a bullish factor on cotton
from the standpoint of prospective de-
mand for the unsold portion, although
it tended to stimulate covering by some
traders at the moment
Futures closed Ill to 81 points off
tone steady,
New Orleans closed 1870 to 80 points
off; tone steady.
Spots were off points; middling tc
80 SOC and sales 1921 bales. -.
Liverpool is due to come 20 to q
points off.
In the local market sales were SOC
bales and quotations were off 100 points
middling at $500.