The news scimitar. (Memphis, Tenn.) 1907-1926, 1920-09-04
COTTON VALUES
DROP FURTHER
Deterioration Reports and Low Condition Fail to Off
set Effect of Defation Idea-Brtish Labor Trou-
bes Big Factor-Spot Demand Still Limited.

pressure was weakness In Liverpool.
which was lscrihed to increased pros
poet 'of short running time among the
cotton mills Of Great Britain, due to
conditions which have been checking
buying for several months, Absence OF
anything to encourage expectation OF
revived activity among the mills OF the
United states or TO induce them 10 de-
tart from their attitude of buying spar
ingly also deferred buyers,
After being bullish for some weeks
but without having had much effect
, the weekly statistics made a bearish
showing and received credit for Undue
ing some OF the selling This simply
Indicated the readiness with which
traders make use Of facts when they
~ In with other preconceived notions
The movement has not shown much in
crease, but II Is expected to do so soon,
and the outlook does not seem to be
for the outgo TO keep pace with II.
but little forward business booked,
which probably win mean slow buying.
unless the unexpected happens, and ac-
emulation OF cotton throughout the
belt Is assured. One OF the main argu-
ments of the bear crowd Is that the
South Will be in poor position to with
stand efforts TO push values lower, due
To the financial situation and chances
OF getting relief at time when there
is always need Of selling part OF the
NAtit "ldttNFE u DTbNtS Nt bFs
Crop Size Secondary.
Although it can not he doubted that
since the bureau report was made up
as OF Aug. % the crop has lost ground
in some sections quite rapidly, this had
had small weight with traders, Condi-
tiuns have not favored overcoming any
OF the lateness and the menace Of an
early or even an average frost Is con
siderable. BY some observers IL Is be-
lieved to have been increased by the
weather OF the past week There IL
yield promise now would equal that an
nounced as indicated by the condition
of 6I5. or l2,7s3 900 bales, but recent
happenings have shown conclusively
that traders are worrying little over the
size Of the crop. This Is a secondary
consideration, for II there is not a de-
cided change in business and financial
conditions the world over pretty soon
loss OF radical proportions from cur
rent ideas would hardly present pros
pect OF raw material OF course, such
an eventually would put a quietus on
talk OF lower prices and would prob
ably start some recovery and afford the
speculative element with occasion for
reversing their attitude, but actual in
sufficiency of raw material would be
far away.
The probable course OF values from
now on Is OF course problematical. But
1t is hardly reasonable to expect that
since futures have gone below what Is
generally thought to be cost OF pro-
ductlon further declines will be had
without considerable display OF resist
Rnce That the South IL in worse shape
to put up a fight against deflation in
prices than any other section OF the
United States Is known of all men who
are informed. but that her people are
far from being in position TO sit SUI
pinely by and see the value OF their
chief money source crushed beyond all
reason without resistance is equally
true. Some OF the methods being used
to send values downward are unworthy
OF men, yet such figure in the situation
to be faced, Included in such may be
mentioned some things of political ma
ture, appeals being made to prejudice
to catch votes, which indirectly affects
the price of cotton,