The news scimitar. (Memphis, Tenn.) 1907-1926, 1920-02-05
COTTON MARKETS
Liverpool Better Than Ex-
peCted and Some Improve
ment in Exchange Rates.
Thursday afternoon, Feb. 5.

Thursday afternoon. Feb. 5.
After the sensational happenings OF
yesterday comparative quietude pre-
vailed in the markets today although
there was plenty of nervousness, Con-
ditions In the exchange markets were
not quite so bad and some recovery in
quotations took place, thereby encour-
aging some covering on the part OF
shorts. Liverpool, instead OF being
further demoralized, came better than
expected and there seemed no apparent
concern over the prospective shutting
off Of imports. IL develops that the
rumors regarding government action to-
ward this were not founded on fact, but
1t is a largely a distinction without
difference, for II is admitted that with
the depreciation in rates there win be
little done toward bringing more cot
ton from this side.
The sterling market started the day
at slight Improvement which was
l followed by more later, but 1t failed to
disabuse the minds of the trade suf-
ficiently to encourage much confidence.
1t was thought by many that the bet
terment was perhaps due to the abso-
Lutte necessity of help at the moment
in order to avoid rapid spread of trou-
bic and sure enough panic, and there
fore it was feared it would only prove
temporary. Ideas are vague and more
\ or less confused as to what will be done
to turn the tide, but most opinion runs
to the suggestion that the only effective
way will be to check imports into the
foreign countries, which is certainly
not an. argument for the bull side on
this side.
Liverpool was due to come 20 to Is
points oft, but she failed to show II
and higher prices were recorded. AT
the close the tone was called very
steady and the list was from 3 points
off to 4S up. the distant positions show;
ing most strength, Spots were marked
up 10 points, fully middling to 2S.65d
with sales 5000 bales, including 5000
American. Receipts for the day were
$4,000 bales, including $500 American
Advices indicated that the amount Of
cotton likely to be turned back from
Liverpool was small and it would bt
largely in the nature of an experiment.
First prices on this side were lower
May being down is points to 32.O7c
but liquidation soon sent 1t off further
until 31.65c was recorded. Then came
covering by shorts, as cables were bet
ter than expected and exchange rate'
were not so demoralized. The sellers
were few and the profit takers fount
the market responsive to buying orders
May. went to 82.20c, after which anothe
slight sinking spell was had, this tim
to 81 .S3c. Some more strength in ex
change and reports of some exports go
sold back up to 32.35c. Sight sterling
exchange was quoted as high as SO 80
which compared with an extreme loy
Of about $3.18.
The weather map was fairly goo
u one, but little rain having been ha
during the past "a hours and indication
were not so bad. The outlook was TO
a little unsettement. but most of tn
belt was promised fair. Advices, how
ever, continue to pay stress on tn
lateness Of the start and of labor dit
A ficulties. In addition, 1t is beginning
n be predicted that the reactionary tren
of values will serve to hold in chez
contemplated increase in acreage.
News from the spot department
scarce and it is not possible yet to tie
what the attitude of holders will b.
They are putting up bold front so IA
but how long this will continue in cas-
exporters stay out of the market re
mains to be determined. The domest
spinners are doing but little and ad
vices tell of some reaction in prices {
finished goods, although they are sti
at very profitable basis for the spir
ner, compared with what he has pal
for raw material.
Futures closed 20 to 10 points up, tor
firm.
New Orleans closed S to So points u
tone stead. Spots were off rs point
rniddling to 39,25c, and sales were g.
& bales
Liverpool is due to come 80 to
points up.
In the local market business was ligl
and sales for the day were only i
ious, but it Is claimed that some cote
is being picked up In the interior
liberal concessions Quotations here a
q down so points, middling to 39c.