Imperial Valley press., 1921-04-25
Go \ I RACTS
FOR FUTURE
DELIVERY
SOUGHT
Forward Movement in Cot
ton Market Held in Abey-
ance Only Until There Is
Certainty of Acreage.
(By W. w. MOrrisOn.)

The number of empty freight cars
is said to be, at present, the greatest
of record. This. with the labor dis
turbances, was the only reactionary
features that developed during the
pas. week.
A few months ago both would have
depressed values and disturbed conf
dence in a marked way. Their effect,
at present, has been confined to only
| temporarily checking a rather well
developed tendency of prices to ad-
vance and to making a we'll defined
, movement toward normal conditions
temporarily more conservative.
This about measures the change for
the better that has taken place, espe-
cially in cotton circles. For long
time the cotton trade has been eau
tiously confined to transactions cover
ing immediate needs, but there is now
some disposition to contract for deliv-
cries ahead. The fact is, good move
forward is only held in abeyance by
the uncertainty as to the reduction in
the acreage that will be planted in
cotton. Once the public is assured
that there will be a substantial reduc-
ton, the advance towards better con-
dltlons will be marked and sustained
at least, this is the opinion of many
careful students both in this country
and in Europe.
Evidence continues to accumulate
that investment buying is going on in
quiet way. 1t seems it is the grades
below middling that is attracting at
tentlon. The differences between the
price of these grades and middlng is
the information that is being chiefly
sought by the outside public, presun-
ably as basis for these investments.
lhls record is most interesting and
demonstrates very clearly the reason
Tor investments taking this form.
For instance. from 1907 10 1913 in
elusive, the average price of the four
grades below middling. was &c Der
pound under the price current for mid
ding. From 1915 to 1920 inclusive.
the average was 3-Sc per pound un-
der. From the first of the wear 1921
10 date, the average has been i LIE
per pound under. In other words. from
the beginning of the present year the
four grades could have been bought
at an average of 1-2 cents per
pound under middling.
1t Is interesting to note that while
the low grades would cost on an ay-
erage of II 3-4 cents from 1915 I'd
1870 inclusive, and somewhat higher
IN 1920, the average price at which
they could have been bought from the
hrst of the current year, is around &c
per pound This accounts. no doubt.
for the obviously increasing interest
IL these grades. They will MAKE lust
as durable fabrics now AS they ever
dld and the world undoubtedly needs
the cheaper clothing which thes.
grades make possible
The financial situation is clearing up.
Money for cotton is somewhat easier
ana the measures for relief are becom-
ing more practical and consequently
aNe,more effective. These things have
appreclably affected the tone of busi-
ness, then the activity of the repre-
SeAtatlveS OF American exporters in
europe has no doubt had a great deal
to do also with the improved outlook.
The number of these representatives
now IN Europe is very much larger
than 1t has been in any wear since the
war began. Their going abroad was
taken as an evidence, by some at the
time, that the crisis had passed in IL
Quldating the obligations growing out
CT the period of defation and that,
settlements were proceeding along re-
assuring lines. Events have undoubt-
edly justified this analysis.
Bebe Daniels, the good little b4a
girl, who has spent 10 days in jail,
aH ~.