The news scimitar. (Memphis, Tenn.) 1907-1926, 1920-10-23
BY GEORGE Williamson

Although it canHot be said yet chat
the cotton bulls have much basis for
hope, there Is no deniaf of the eX-
istence OF more optimism as to the
situation. Whether II win he lasting
or give way later TO anothe% Qutburst
OF pessimism and disgust time only
will determine. Distinct signs OF
betterment have been noted for sew
eral days, but the oft-inflicted pun
ishment has so completely cowed the
average man in the cotton belt that
he is disposed to look aSkanCe at
talk of an upturn. However. nothing
would bring so much JOY to his pull
sating breast as the movement OF
values back toward cost Of produc-
tion. The encouraging featdre Of the
week was the growing indication OF
a sold-out market and resistance
shown when values reached around
10 cents, and lower for the most ac-
tive options, which was also accom-
panied by moro evidence Of trade
support and absorption by spinners
of some Of their needs.
Changes for the week in the con-
tract department were slight. by no
means rejecting the alteration OF
sentiment. in New York the list
wac BOAhNo NV w 'NN 49,
to SO TO the good, while in New
Orleans gains ranged from 10 to 40
points. Tho significance of these
slight gains was increased, by the
fact that in the spot department quo
tations for the review period showed
losses ranging from 80 TO l50 points,
while one point was up 10, middlinG
being as low as 10 cents to AS high
as 81 cents at the leading centers.
One of the chief market influences,
coming as 1t did on top of the pro-
longed inactivity in spot demand and
the curtailment of output by mills
on both sides OF the ocean. was the
fact that the British coal miners went
on their strike. after much threat
ening and futile efforts to avoid II.
The far-reaching effects of such
caused reflection in the value marts
TO be considerable, though the dis
counting process had been extensive.
Widespread opinion that the struggle
would not last long and the extern
siveness of the short interest helped
to bring a recovery In contracts, al
though Il was interrupted somewhat
by the ultimatum from the railroad
and transport workers in that coun-
try, that they would Join the strike IL
mediation was not started at once.
The week closed with sentiment APP
parently leaning 10 the view that set
Element of differences was not far
hence, for Liverpool spot sales Fri
day were the largest of any day IN
many weeks, and Manchester adj
vices more encouraging.
Bottom on Monday.
The downward swing eliminated
on Monday, when December in New
York sold as low as 1880, and the
entire list off in proportion. The
market had reports Of rioting In Lon
don and discouraging outlook as
to the strike. But next morning
came better reports and the recovery
of about SIS the bale was with little
effort, for the affair had been over
sold. Weather continued favorable
in the belt and domestic trade ac-
counts were still without favorable
tenor. yet tone OF the speculative
market was better Caution charac-
terized trading next day, but when
the railroad workers announced their
determination to join the coal strik-
ers. values did not drop very much,
which aroused fresh confidence in the
view that a turn had come.
Co-ordinating with this was in
creasing evidence that the South was
getting into an attitude and position
To offer more resistance to beartsh
efforts, helped. perhaps, by some in
furious rains in Texas and Oklahoma,
the sections whence the bears have
been getting their most effective aid
in pushing prices downward. These
rains were hurting grade and inter.
rupting picking, which increased
prospects of cutting down the size
Of the crop. for II hardly seems prob
able that much of the low grade
part OF the crop will be saved. un-
less there come marked improve
ment in prices. 1t was also helping
to stimulate demand for the better
grades at a psychological time. for
the entire cotton belt has recently
acted as IL 1t was getting over the
stage of senseless fear and abject |